Global Economy at Risk: Why Jaishankar Urges Supply Chain Diversification Now

Speaking at the SCO Council of Heads of Government meeting in Moscow, the EAM outlined India's position on the matter, noting that supply-side disruptions, combined with emerging demand-side pressures, have created a landscape that demands rapid recalibration.

"The theme of this session covers trade, economic, cultural and humanitarian cooperation. Let me summarise India's approach to trade and economic issues that we discussed in the last session. We assess the global economic situation to be particularly uncertain and volatile currently. Supply-side risks have been aggravated by demand-side complexities. There is consequently an urgent requirement to de-risk and diversify," Jaishankar said.

He emphasised that member states must expand economic linkages to mitigate systemic exposure, reiterating that these engagements must be anchored in fairness, transparency and equity, and highlighted India's ongoing push to conclude free trade arrangements with several SCO partners.

"This is best done by as many of us forging the widest possible economic links. For that to happen, it is essential that this process be fair, transparent and equitable. India's endeavours to conclude free trade arrangements with many of you here are relevant," the EAM added.

The EAM's concerns about the global economic issue come amid growing uncertainty from US tariffs and the volatility of the supply chain market, which is controlled by certain countries.

Jaishankar, pivoting to cultural and civilisational cooperation, underscored India's value proposition as a civilisational state with deep historical linkages across the SCO geography.

He also cited India's successful exhibitions of sacred Buddhist relics and reiterated New Delhi's readiness to extend heritage-conservation expertise to Central Asian partners.

"Regarding culture, India's long-standing historical ties with SCO members make it particularly pertinent. Against this backdrop, Prime Minister Modi proposed at the Tianjin SCO Summit to launch an SCO Civilisational Dialogue Forum," Jaishankar said.

"As a civilisational state, India strongly believes that people-to-people exchanges lie at the core of any genuine relationship. Facilitating greater interaction between our intellectuals, artists, sportspeople, and cultural icons will pave the way for deeper understanding across the SCO. We also have a growing record of collaborative activities with regard to cultural exchanges. The exposition of sacred Buddhist relics in many of your countries is a notable example. India is also willing to extend its considerable experience of heritage conservation in Southeast Asia to Central Asia," he added.

On the humanitarian front, he spotlighted India's operational track record in crisis response and healthcare support, and highlighted the deployment of cancer treatment equipment to SCO countries, large-scale vaccine and essential medicine supplies during the pandemic, and the rapid delivery of relief materials to earthquake-hit regions of Afghanistan.

"Regarding humanitarian cooperation, this is important in an era of climate change, pandemics and conflicts. Recognising that we have provided cancer treatment equipment to some SCO members. Similarly, India's supplies of vaccines and essential medicines reflected that commitment during difficult times. During the recent earthquakes in Afghanistan, Indian relief assistance reached the affected areas the very same day. Our initiative for the Coalition for Disaster Resilient Infrastructure also merits your attention," EAM stated.

The 24th meeting of the Council of Heads of Government of the SCO member states took place in Moscow on November 17 and 18.

In addition to India, the SCO comprises 10 member countries: Belarus, China, Iran, Kazakhstan, Kyrgyzstan, Pakistan, Russia, Tajikistan, and Uzbekistan. There are also several dialogue partners and observers.

India has been a member of the SCO since 2017, following its status as an Observer since 2005.

During its membership period, India has held the chair of the SCO Council of Heads of Government in 2020 and of the SCO Council of Heads of State from 2022 to 2023.

- ANI