by Neville Ladduwahetty Courtesy The Island

The question cited above was the title of an article published in Ceylon Today by N. Sathya Moorthy (SM), who identifies himself as a Chennai based Policy Analyst/Political Commentator (Friday 10, 2024).The answer to his question is – NOT YET. For the present, stealing is limited to marine assets and the destruction of its habitat in the process by Indian fishermen. These practices have been going on for decades. By resorting to bottom trawling not only is the habitat destroyed for decades, but also the infrastructure of the Sri Lankan fishermen thus affecting their livelihoods. However, going by past and ongoing practices notwithstanding all the protests, expanding the scope of stealing to other fields of activity cannot be ruled out from opportunities arising from increased Connectivity.

STEALING MARINE RESOURCES

In a United Nations-Nippon Foundation of Japan Fellowship Programme of 2016, Aruna Maheepala claims: There are over 5,000 mechanised trawlers in Tamil Nadu and nearly 2,500 of them enter Sri Lankan waters on Mondays, Wednesdays and Saturdays and often coming at 500 m of the shoreline (emphasis added) …. More than 50,000 marine fishers live in the northern fisheries districts of Sri Lanka (Jaffna, Kilinochchi, Mannar, Mullaitive), and they account for about one-fourth of the marine fishers of the country”.

Before the commencement of the war (1982) around 40% of the fish production of the country came from Northern fishery districts (except Kilinochchi). However, contribution of the fish production in the northern fishery district drastically dropped to 5% in the peak period of the war (2008) and gradually increased after 2009. Livelihoods of Sri Lankan fishers’ have been drastically affected as a result of the Indian poaching” (Ibid).

Judging from the map of Sri Lanka’s EEC and its proximity to India’s coastline, to claim that Indian trawlers drift” into Sri Lankan waters is unacceptable. On the contrary, the India trawlers drift” into Sri Lankan waters because they have exhausted resources within India’s EEC.

In the context of the ground situation cited above, for Dr. Jaishankar’s claim that ‘India is committed to the wellbeing and progress of nations of the Indian Ocean is based on our Neighbourhood First’ is far from the truth. Instead, it sounds more like India First in the neighbourhood. To expect India to address this issue despite Dr. Jaishankar’s commitment to a multilateral rules-based international order along with sincere respect for sovereignty and territorial integrity” are only words in the wind because it is alleged that the majority of Indian fishing boats entering Sri Lanka waters are connected to Indian politicians who are Members of the Legislative Assembly of Tamil Nadu.

This being the case, stealing marine resources and destroying their habitats is bound to continue without a word of ‘Thank you’ from Sathiya Moorthy or any others in India. In contrast, he expects Sri Lanka and its People to say ‘Thank you’ for the ‘ship-to-mouth assistance granted by India and Indians to the ‘People of Sri Lanka’, repeatedly referred to by External Affairs Minister, Jaishankar, not realising that the monetary value of what was and is being stolen and what is wantonly destroyed in the process, not to mention livelihoods of thousands, far outweighs the value of the assistance given. Therefore, there is no cause whatsoever to say ‘Thank you’.

IMPACT of CONNECTIVITY

With increased Connectivity through a Land Bridge, there is a strong possibility that Indians may Steal Sri Lankan jobs judging from the job situation in India, presented by Mr. Dharmawardana in System Change: Is Sri Lanka to become an Indian Pradesh”? (The Island May 8, 2024). The article states that some 93,000 candidates applied for 62 ‘peon’ posts in Uttar Pradesh police department which required a minimum eligibility of grade 5; However, there were 3,700 PhD holders and 28,000 post graduate and many graduates”. In such a background, there is a strong possibility for Indian applicants to offer their services at considerably reduced rates for employment in Sri Lanka, thus depriving Sri Lankans from gaining employment in their own country.

Commenting on the proposed Massive Investments” in Sri Lanka by India, Sathiya Moorthy is of the view that there is a limit to what he calls a good compromise in the name of environmental protection”, if Sri Lanka and Sri Lankans should decide whether they want to live in stone-age caves or live in the times and with the times”.

If he thinks that these unsolicited Investments are being undertaken by India to ensure that Sri Lanka and Sri Lankans live with the times, he is being pedestrian in his thinking. Instead, it is all part of a fall-out arising from geopolitical rivalry by the QUAD to counter China’s influence in Sri Lanka; a fact evident when the US International Development Financial Corporation (DFC) agreed to fund the West Coast container terminal with a contribution of $533 to the Adani Group to build, as a Joint Venture with the Adani Group holding 51% of the shares and the rest, only 49% held by John Keels Holdings and Sri Lanka Ports Authority.

According to a Bloomburg report the Adani Group, the Indian ports-to-power conglomerate, is considering a $750 million investment in Sri Lanka to set up two wind projects that will generate 500 megawatts on the island as another component of extending Connectivity.

Continuing according to the report, Modi is seeking to tilt the balance in a strategic tussle with China on Sri Lanka, a pivotal battleground because it lies on key global shipping lanes and plays into India’s concern of encirclement from Beijing. New Delhi plans to boost air connectivity and also speed work on linking electricity grids with Sri Lanka. The two nations will also conduct a feasibility study for a petroleum pipeline as well as for a land bridge and passenger ferry service.

It is therefore, crystal clear that these Massive Investments are undertaken in the pursuit of the individual and collective national and geopolitical interests of the US and India and not for the benefit of Sri Lanka and Sri Lankans per se as Sathiya Moorthy contends, but only because Sri Lanka’s strategic location has imposed a degree of importance that needs to be controlled by the QUAD. In the light of these external compulsions Governments representing Sri Lanka’s interests have hard and limited choices.

Furthermore, since these are unsolicited Investments, relationships between and within governments factor in and invariably influence the negotiating processes involving costs and leniency towards environmental and other contractual obligations, etc. Consequently, client States such as Sri Lanka invariably end up with the short end of the stick. What is more surprising and disappointing is for a US Government Agency such as DFC to fund an unsolicited investment to the tune of US $533, thus violating good practices such as transparency associated with open bids.

SENSE of VULNERABILITY

The report cited above conveys the sense of vulnerability that has influenced India’s relationship with Sri Lanka. The need for Modi to tilt the balance in a strategic tussle with China on Sri Lanka, a pivotal battleground because it lies on key global shipping lanes and plays into India’s concern of encirclement from Beijing says it all. The sense of vulnerability felt by India regarding its security and territorial integrity is not new.

India’s leadership has repeated often enough, that the ‘security of India depends on the security of Sri Lanka’: a concern that causes India to seek regular assurances from Sri Lankan leaders and even prospective ones, that they would not undertake any ventures that have the potential to threaten India’s security. Such a perception has compelled India to adopt proactive measures to tilt the balance in a strategic tussle with China on Sri Lanka”.

STRATEGIES to CONTROL DIRECTION of SRI LANKA

The way India is planning to tilt the balance” in India’s favour is by adopting policies and strategies to CONTROL Sri Lanka’s political, financial and economic determinations in a direction that ensures India’s security and does not hinder India’s national and global aspirations.

POLITICAL CONTROL

For instance, control over internal political arrangement is through the repeated insistence of the full implementation of the 13th Amendment crafted and imposed by India. This entrapment is a serious fetter to the introduction of system changes at the Provincial level where powers Constitutionally devolved to Provinces are further devolved to Districts and Local Governments in a manner that enables development in the peripheries based on their respective determinations and capabilities. The strait jacket imposed by the 13th Amendment seriously restricts autochthonous development in the peripheries, thus affecting the livelihood of the majority in Sri Lanka.

FINANCIAL CONTROL

Financial control is through the use of the Indian Rupees in acquiring Assets, Trade through lines of credit and other transactions. For instance, the recent launch of the Unified Payments Interface (UPI) mechanism claims to reduce the cost of financial transactions between India and Sri Lanka. It is reported that Indian Government is actively exploring the possibility of facilitating Indian Rupee investments for Indian Companies in Sri Lanka.

In the fiscal year 2023, the Reserve Bank of India (RBI)granted permission for international trade for invoicing and payments to be conducted in Indian Rupees. This move allowed for exports and imports to be denominated and invoiced in Rupees, with trade transactions settled in the currency. The RBI’s decision aims to stimulate global trade growth, particularly Indian exports, while also working towards the internationalisation of the Indian Rupee” (Ceylon Today, February 28, 2024).

Last year, Sri Lanka officially recognised the Indian Rupee as a designated currency, ending trade settlements between the two countries to be conducted in Rupees” (Ibid).

Currently, Indian Investors typically engage in investments in Sri Lanka using international currencies like the US Dollar, which involves additional complexities and conversion costs. The transition to Rupee investments is expected to streamline market entry for Indian companies, with the Ministry of External Affairs reportedly advocating for this transition” (Ibid).

The report finally states: The push for Rupee investments aligns with India’s broader vision to elevate its currency to the status of hard currency in the future, potentially leading to inclusion in the IMF’s SDR basket and bolstering its foreign exchange reserves. This move is anticipated to benefit Indian firms with significant investments in Sri Lanka, such as the Adani Group’s development projects in the country’s port and power sector” (Ibid).

ECONOMIC CONTROL

Economic control is through unsolicited Massive Investments”, that Sathiya Moorthy refers to in ports, renewable energy and other infrastructure projects to consolidate connectivity on lines cited above. Other actively pursued projects are the under-sea pipeline for petroleum products and for electricity grid connections together with the Land Bridge cited above. The collective impact of all this is not only to control the future direction of Sri Lanka but also constrain future choices open to Sri Lanka, in order to ensure a dependence that guarantees the security of India without depending on verbal assurances of Sri Lankan political leaders whatever their hue.

CONCLUSION

The answer to Sathiya Moorthy’s question Is India Going to Steal Land, Water and Air?” is: NOT YET. For the present, stealing is limited to marine resources and the wanton destruction of its habitat within Sri Lanka’s Exclusive Economic Zone; a practice that has been going on for decades without acknowledgment of any kind – not even a Thank You. The stealing that is yet to come would be later, and would be through unsolicited projects judiciously selected and proposed by India in the name of Connectivity in order to control determinations of Sri Lanka in a manner that guarantees the security of India without depending on verbal assurances by Sri Lanka’s political leaders.

The reason for the obsession with security is because of a notion of vulnerability that India and its leadership has experienced for decades and repeated often, that the ‘security of India depends on the Security of Sri Lanka’. Although the sense of vulnerability brought about by a perception of encirclement had affected India for decades, the growing economic clout that India is experiencing in the background of geopolitical rivalries has emboldened India to adopt more proactive strategies to tilt the balance in a strategic tussle with China on Sri Lanka”.

The strategy adopted guarantees security as far as Sri Lanka is concerned, is by being in a position to CONTROL determinations of Sri Lanka through Internal Political arrangements (13th Amendment), Financial through UPI and the role of the Indian Rupee in Trade and other transactions and Connectivity through Massive Investments in unsolicited infrastructure projects, investing in existing projects, resources and assets in order to colonize Sri Lanka and make it DEPENDENT on India. The policies currently being adopted by Sri Lanka are facilitating this process.