CENTRAL ASIA POLICY
Central Asia holds significant geopolitical, economic, and strategic importance due to various factors. Here are some key aspects that highlight the importance of Central Asia:
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Geopolitical Significance:
- Central Asia is situated at the crossroads of Europe, Asia, and the Middle East, making it a critical region for geopolitical and strategic considerations.
- The region shares borders with important countries such as Russia, China, India, Iran, and Afghanistan, contributing to its geopolitical importance.
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Energy Resources:
- Central Asia is rich in energy resources, particularly natural gas and oil. Countries like Kazakhstan, Turkmenistan, and Uzbekistan have substantial reserves.
- The region plays a crucial role in global energy markets, and its resources are of interest to major energy-consuming nations.
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Transportation and Trade Routes:
- Central Asia provides vital land routes for transportation and trade, connecting East and West. The region is part of historical trade routes like the Silk Road.
- Infrastructure projects, such as the Belt and Road Initiative (BRI), emphasize the importance of Central Asia in facilitating international trade and connectivity.
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Security and Stability:
- Central Asia's stability is crucial for regional and global security. The region faces challenges such as terrorism, extremism, and transnational crime, making it a focal point for international security efforts.
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Water Resources:
- The region possesses significant water resources, with major rivers like the Amu Darya and Syr Darya. Managing and sharing these water resources are critical for regional stability and development.
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Cultural and Historical Heritage:
- Central Asia has a rich cultural and historical heritage, with ancient civilizations and diverse ethnic groups. This heritage contributes to the region's uniqueness and attracts interest from scholars and tourists.
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Strategic Partnerships:
- Central Asian nations engage in strategic partnerships with global powers. For example, Russia, China, and the United States have various interests and engagements in the region, influencing its geopolitical dynamics.
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Regional Cooperation:
- Central Asian countries collaborate on regional issues, including economic development, security, and cultural exchanges. Organizations such as the Shanghai Cooperation Organization (SCO) and the Collective Security Treaty Organization (CSTO) foster regional cooperation.

- Geographical Coverage:
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- Afghanistan: The primary contributor to opium production in the Golden Crescent. Afghanistan has been the world's largest producer of opium, the raw material for heroin.
- Iran: Serves as a transit route for the illegal drug trade, as much of the opium and heroin produced in Afghanistan is trafficked through Iran to reach international markets.
- Pakistan: Like Iran, Pakistan is both a transit country and a destination for the trafficking of opiates from Afghanistan.
- The Golden Crescent is a major source of opium poppy cultivation. Afghanistan, in particular, has seen extensive cultivation due to factors such as insecurity, poverty, and limited alternative livelihoods for farmers
- The opium harvested in the region is processed into heroin, a highly addictive and illegal narcotic. The heroin produced in the Golden Crescent is trafficked globally, contributing to the international drug trade
- The illegal drug trade from the Golden Crescent has implications for regional security and stability. It is often linked to funding insurgent groups, contributing to violence and instability in Afghanistan and neighboring areas
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International Anti-Drug Efforts:
- The United Nations Office on Drugs and Crime (UNODC) and various international organizations work with the countries in the Golden Crescent region to combat the production and trafficking of illicit drugs.
- Efforts include initiatives to promote alternative livelihoods for farmers, strengthen law enforcement, and enhance border control measures
- The issue of opium production and heroin trafficking in the Golden Crescent is complex and multifaceted, involving socio-economic factors, political instability, and the influence of criminal networks
- Countries in the region and the international community engage in cooperative efforts to address the challenges posed by the illicit drug trade. This involves sharing intelligence, conducting joint operations, and implementing demand reduction programs
- Efforts to reduce opium cultivation often include initiatives to provide farmers with alternative means of livelihood, such as promoting legal agricultural practices and supporting sustainable economic development
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- The primary participants in the INSTC are India, Iran, and Russia. However, the corridor involves a broader network, connecting multiple countries across South Asia, Central Asia, and Europe
- INSTC integrates various modes of transportation, including maritime, rail, and road routes. The combination of these modes creates a comprehensive and flexible network
- The maritime route of INSTC connects the Indian Ocean and the Persian Gulf to the Caspian Sea. Ports such as Mumbai (India), Bandar Abbas (Iran), and Astrakhan (Russia) play crucial roles in this maritime leg
- Rail and Road Routes:
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- Rail and road links complement the maritime route, extending the corridor from the Caspian Sea region through Azerbaijan and Russia to Northern and Eastern Europe.
- The corridor involves connecting railway networks and roadways to facilitate the seamless movement of goods.
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Reduction in Transit Time and Costs:
- One of the primary objectives of INSTC is to reduce transit times and transportation costs for goods moving between the participating countries.
- By providing a shorter and more efficient route compared to traditional sea routes, INSTC aims to boost trade and economic cooperation among the member nations
- INSTC is expected to enhance economic cooperation and strengthen trade ties among the participating countries. It offers an alternative and more direct route for trade, promoting economic growth in the region
- The corridor has strategic significance, both economically and geopolitically. It diversifies trade routes and reduces dependence on existing transportation channels
- While INSTC holds significant promise, its full realization faces challenges such as geopolitical complexities, border and customs issues, and the need for infrastructure development along the corridor
- INSTC involves collaboration and cooperation among multiple countries, requiring coordination in terms of policy, infrastructure development, and trade facilitation
- Various phases of the INSTC have been operationalized over time, and ongoing efforts continue to further develop and enhance the corridor
What is the Significance of INSTC for India?
- INSTC provides India with an alternative and more direct trade route to connect with key regions such as Central Asia, Russia, and Europe.
- Improved connectivity supports the diversification of India's trade routes, reducing dependence on traditional sea routes and potentially lowering transportation costs
- The corridor facilitates increased trade and economic cooperation with countries along the route, including Iran, Russia, and Central Asian nations.
- Shorter transit times and cost-effective transportation contribute to the expansion of India's trade, fostering economic growth
- INSTC opens up access for India to the resource-rich and economically vibrant Central Asian countries. This access is crucial for energy cooperation, investment opportunities, and market expansion
- Diversifying trade routes through INSTC enhances India's strategic options, reducing vulnerability to disruptions in specific transportation channels or geopolitical tensions
- The corridor provides India with improved access to energy resources in the Caspian Sea region. This is significant for India's energy security, offering alternative sources and routes for oil and gas imports
- Active participation in INSTC enhances India's geopolitical influence in the region. It fosters stronger ties with partner countries and positions India as a key player in shaping regional economic and strategic dynamics
- India's involvement in INSTC requires investments in infrastructure development, including road and rail connectivity. This, in turn, contributes to domestic infrastructure improvement and economic development
- INSTC provides a transit route for Indian goods to reach markets in Europe and beyond more efficiently. This is particularly valuable for sectors like textiles, pharmaceuticals, and manufacturing
- India's participation in INSTC fosters collaboration with countries like Iran and Russia, strengthening diplomatic ties and regional cooperation on various fronts, including security and counter-terrorism efforts
- The utilization of Iran's Chabahar Port, a key component of INSTC, is beneficial for India's strategic interests in the region. Chabahar provides India with direct access to Afghanistan and Central Asia, bypassing Pakistan

- The participating countries in the Ashgabat Agreement are Iran, Oman, Turkmenistan, Uzbekistan, and Kazakhstan
- The primary objective of the Ashgabat Agreement is to create an international transport and transit corridor to facilitate the movement of goods and enhance regional connectivity
- The agreement aims to connect Central Asia with the Persian Gulf through a network of road and rail links
- The agreement covers both road and rail transportation, making it a multimodal transport corridor
- The transport corridor established by the Ashgabat Agreement runs from the Islamic Republic of Iran to Oman, passing through Turkmenistan, Uzbekistan, and Kazakhstan
- The agreement is designed to simplify customs and transit procedures, reducing barriers to trade and making transportation more efficient
- For landlocked Central Asian countries, the Ashgabat Agreement offers an alternative route for trade, reducing dependence on existing transit routes and enhancing economic diversification
- By creating a transport corridor, the Ashgabat Agreement aims to enhance regional connectivity, fostering economic cooperation and people-to-people ties
- The agreement holds strategic importance for the participating countries, promoting economic integration and supporting regional stability
- The Ashgabat Agreement allows for the accession of other interested countries, potentially expanding the network and promoting broader regional cooperation
- The Ashgabat Agreement complements other regional initiatives and agreements, contributing to the overall connectivity and economic development of the region
- Like many international agreements, the successful implementation of the Ashgabat Agreement faces challenges related to infrastructure development, regulatory harmonization, and coordination among participating nations
- The participating countries work towards the effective operationalization of the transport corridor, including the development and maintenance of infrastructure and the streamlining of customs and transit procedures

- The TAPI Pipeline involves four countries in its route:
- Turkmenistan: The source of natural gas from the Galkynysh gas field.
- Afghanistan: The pipeline passes through the Herat and Kandahar provinces.
- Pakistan: The pipeline enters Pakistan through the Balochistan province.
- India: The pipeline reaches India through the Fazilka district in the Punjab region.
- The primary source of natural gas for the TAPI Pipeline is the Galkynysh gas field in Turkmenistan, which is one of the largest gas fields in the world.
- The pipeline has an initial planned capacity to transport around 33 billion cubic meters of natural gas per year
- The main purpose of the TAPI Pipeline is to export Turkmenistan's natural gas to energy-hungry markets in South Asia, particularly Afghanistan, Pakistan, and India
- The TAPI Pipeline is seen as a means of fostering economic cooperation and energy security among the participating countries. It provides a reliable and diversified source of natural gas
- The project is managed by the TAPI Pipeline Company Limited, a consortium formed by the participating countries and international companies. The Asian Development Bank (ADB) is also involved in the project
- The TAPI Pipeline has faced various challenges and delays, including security concerns in Afghanistan and financing issues. The geopolitical situation in the region has also posed challenges to the project's progress
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Benefits for Participating Countries:
- For Turkmenistan, the pipeline provides an opportunity to export natural gas and diversify its energy exports.
- Afghanistan stands to benefit from transit fees and increased access to natural gas for domestic use.
- Pakistan and India gain access to a new source of natural gas to meet their growing energy demands.
- The TAPI Pipeline has geopolitical implications, as it influences the energy dynamics in the region and impacts the relationships between the participating countries
- Construction of the TAPI Pipeline began in 2015, and its completion and operationalization are crucial for realizing the economic and energy benefits for the participating nations
Previous Year Questions
1.What is the importance of developing Chabahar Port by India? (UPSC CSE 2017) (a) India’s trade with African countries will enormously increase. (b) India’s relations with oil-producing Arab countries will be strengthened. (c) India will not depend on Pakistan for access to Afghanistan and Central Asia. (d) Pakistan will facilitate and protect the installation of a gas pipeline between Iraq and India. Answer: (c) |