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Reset Of India-Indonesia Relations (Part II) – Analysis

When the Indonesian President Prabowo Subianto joined as the chief guest at India’s Republic Day celebration on 26 January 2025, it became his first trip to India as the head of state and fourth Indonesian leader to be chief guest at the Republic Day celebrations. For record, President Suharto was the chief guest at the first Republic Day in 1950, the others being Susilo Bambang Yudhoyono (2011) and Joko Widodo (2018) along with other ASEAN leaders. Both the leaders Prabowo and Prime Minister Narebdra Modi used the opportunity to discuss bilateral issues to deepen the relationship. Issues such as security, energy security, security, defence and security cooperation dominated the discussion. Other issues included trade and investment, healthcare and digital technologies. Several MoUs and announcements were finalised. Prabowo participated in a Forum as part of effort to enhance trade and investment. During the discussion, India pledged to support the Southeast Asian nations defence modernisation programme through experience and expertise sharing, besides taking steps to resolve outstanding tariff and non-tariff barriers to trade. Other areas covered in the discussion were counter terrorism, health and pharmaceuticals, food security, infrastructure and connectivity, science and technology, space cooperation, education and skill development, climate change and disaster resilience and Indo-Pacific initiatives. BrahMos Missile The most significant take-away of Prabowo’s visit was Indonesia’s interest in acquiring the BrahMos missile system from India. Both sides reached a broad understanding on the pricing of the deal, expected to be worth around $450 million. As a goodwill gesture, India briefed a top level Indonesian team about BrahMos Missile when it visited the BrahMos Aerospace headquarters and was briefed on the capabilities of the supersonic cruise missile. The delegation was led by Navy chief Admiral Muhammad Ali. During the visit, he interacted with Dr. Jaiteerth R. Joshi and senior officials from the JV enterprise. The delegation was apprised of supersonic BrahMos weapon system and its formidable capabilities. The BrahMos missile is an Indo-Russian joint venture. If the deal goes ahead, Indonesia will become the second foreign buyer of the missile after the Philippines. In January 2022, India signed a deal worth almost $375 million to equip the Philippine Marines with three batteries of the missiles. The development came at a time when Indonesia was engaged in negotiations with India to acquire the missile system. The weapons showcased during the ceremonial parade witnessed by Prabowo included the BrahMos missiles. The parade included a 160-member Indonesian military marching contingent and 190-member band contingent from that country. With its conventional precision-strike capabilities the BrahMos missiles has become the mainstay of the Indian armed forces. Defence cooperation is being expanded as both India and Indonesia find synergy in the wake of the need to establish peace and stability in the Indo-Pacific region. A high-level delegation from Indonesia is likely to visit India soon to fast-track defence collaboration following the ratification of a bilateral defence cooperation agreement. Prime Minister assured the visiting leader of Indonesia that that the two countries shall work together in defence manufacturing and supply chains. In April 2024, India delivered the first batch of BrahMos missiles and launchers to the Philippines. BrahMos is the fastest cruise missile in the world with a speed of Mach2.8, nearly three times the speed of sound. BrahMos variants can be launched from land, air and sea, and all three variants are in service with the Indian armed forces. The ones being exported to the Philippines can strike targets at 290 km, though India has also developed another variant with a range of almost 500 km. South China Sea issue Amid tensions in South China Sea, Modi and Prabowo reaffirmed the importance of maintaining and promoting peace, stability, maritime safety and security, freedom of navigation and over-flight in the region and other lawful use of the sea, including unimpeded lawful maritime commerce. In a joint statement issued a day after the bilateral meeting, they also sought peaceful resolution of disputes in accordance with universally recognised principles of international law, including the 1982 United Nations Convention on the Law of the Sea (UNCLOS). They supported the full and effective implementation of the Declaration on the Conduct of the Parties in the South China Sea (DOC) in its entirety and look forward to the early conclusion of an effective and substantive Code of Conduct in the South China Sea (COC) that is in accordance with international law, including the 1982 UNCLOS. Both Modi and Prabowo agreed to continue their combined efforts for safety of navigation in Straits of Malacca and Singapore through existing mechanism to enable unhindered economic growth of the region. Defence cooperation also embraced manufacturing opening the path for further expansion in the defence sector. Both the leaders agreed that the defence ministers of both countries shall have a meeting soon to discuss implementation of Cooperation in the field of Defence agreement (DCA). India agreed to support the ongoing defence modernisation programmes of Indonesia through experience and expertise sharing. Both also strongly condemned terrorism in all its forms and manifestations and reaffirmed their commitment to enhancing cooperation in combating this threat through bilateral and multilateral initiatives. Both the leaders also underscored the importance of strengthening global efforts to combat terrorism, including eliminating terror financing and preventing recruitment of terrorists, without any double standards. Both emphasised the need for all countries to work collectively to deny safe havens and support network terrorist groups, in accordance with international obligations and commitments. Recognising the evolving nature of security challenges, the two leaders agreed to work together in preventing the spread of online radicalisation and strengthening mechanisms to counter extremist ideologies. It was heightening that Prabowo sought Indian participation in Indonesian projects ranging from the setting up of tertiary and specialist hospitals to the development of Sabang port in Aceh province. Click here to read Part I