Ecuador-India relations

Category: International Relations

Ecuador-India relations

History of Ecuador-India Relations

Ecuador and India formalized their diplomatic relations in 1969, marking the beginning of a complex yet evolving partnership. Following the establishment of these ties, Ecuador set up its embassy in New Delhi in 1973 to foster diplomatic engagement. However, the embassy faced operational challenges and was closed just four years later in 1977 due to financial pressures. A brief reopening occurred between 1984 and 1985, but it was not until February 2005 that Ecuador reinstituted its embassy in India, reflecting a renewed interest in strengthening bilateral relations. Further enhancing its diplomatic presence, Ecuador established a consulate general in Mumbai in 2013. It is noteworthy that India’s embassy in Bogotá, Colombia, is also accredited to Ecuador, which serves to streamline diplomatic efforts in the region.

In a bid to enhance bilateral dialogue and cooperation, Ecuador and India signed a Memorandum of Understanding (MoU) in 2000 to hold regular foreign consultations. The first of these consultations took place in 2005, and subsequent meetings followed in 2008, 2011, and 2014. These consultations provided a platform for both nations to discuss ongoing issues of mutual interest and strategize on furthering their cooperation. High-level ministerial visits have occurred, with various Ecuadorean Foreign Ministers and dignitaries traveling to India. Conversely, the highest-level visits from India to Ecuador have been made by ministers of state, illustrating a somewhat imbalanced pattern in engagement at the upper echelons of governance.

Over the years, Ecuador and India have fortified their collaboration through various bilateral agreements focusing on multiple sectors. Key agreements include cooperation in education (2006), agriculture (2008), and economic cooperation (2013). The signing of the Protocol on Joint Economic and Trade Committee (JETCO) in October 2015 in New Delhi marked a significant milestone in the bilateral relationship. This protocol aims to foster trade between the two nations, removing barriers and facilitating the exchange of goods and services. The evolving partnership highlights the increasing recognition of each nation’s potential in contributing to each other's growth and stability within the global arena. Such collaborative efforts underscore a commitment to enhancing mutual prosperity and understanding between the two diverse cultures.

Bilateral Trade Overview

The economic relationship between Ecuador and India has witnessed significant growth over the years. Bilateral trade surged from a modest US$98.9 million in 2009 to an impressive $1.29 billion by 2014-15. This notable increase reflects the expanding trade ties and a growing mutual interest in strengthening economic collaboration. However, the trend took a downturn in the fiscal year 2015-16, with bilateral trade falling to $553.14 million. In that year, India exported goods worth $415.45 million to Ecuador, while Ecuador's exports to India stood at $137.69 million. Such fluctuations can often be attributed to various global economic factors, changes in commodity prices, and shifts in trade policies.

Commodity Exchange

The trade dynamics showcase a clear pattern of commodity exchange between the two nations. Ecuador primarily exports mineral fuels and oils, wood and wood products, cocoa and its derivatives, aluminum, and an array of machinery and mechanical appliances. The diversification in exports indicates Ecuador's rich natural resources and industrial capabilities. On the flip side, the main goods imported by Ecuador from India include mineral fuels and oils, iron and steel, pharmaceutical products, and various machinery. Indian exports in organic chemicals, plastics, and electrical equipment also highlight the country's manufacturing prowess, reinforcing India's position as a critical partner for Ecuador in terms of industrial supplies and technology.

Government Diplomacy

Political cooperation has also played a pivotal role in enhancing bilateral ties. A significant diplomatic engagement took place on 16 November 2008, when Ecuador's Foreign Minister Maria Isabel Salvador met with the then Indian Foreign Minister Pranab Mukherjee. This meeting underscored the countries' commitment to advancing cooperation in essential sectors such as oil and defense, areas where both nations have considerable interests and expertise. Following a change in government in Ecuador, there was a strategic shift away from previous revenue-sharing agreements with Western oil companies, signifying the country’s intent to forge closer ties with state-owned enterprises like India's ONGC Videsh.

Memoranda of Understanding

The formalization of agreements has been crucial in laying the groundwork for future collaborations. A memorandum of understanding was signed between the state-owned Indian oil company ONGC Videsh and Petroamazonas, the national oil company of Ecuador. Moreover, an MoU was established in 2006 between the Confederation of Indian Industry (CII) and Ecuador's Export and Investment Promotion Council (CORPEI). These agreements serve as the foundation for fostering strategic partnerships, furthering investments, and facilitating trade, as both nations seek to leverage their respective strengths in various sectors to boost economic growth and bilateral cooperation.

Defence Cooperation between Ecuador and India

Ecuador has established a notable defence relationship with India, particularly marked by its acquisition of the Dhruv helicopters, a versatile multi-role aircraft developed by Hindustan Aeronautics Limited (HAL). The purchase agreement, signed in November 2008, included the acquisition of seven Dhruv helicopters for a total of $45.2 million. Among these, one helicopter was designated for the use of the Ecuadorian president. The delivery of these helicopters occurred over a period from 2009 to 2012. However, the operational history of these aircraft introduced complexities in the Ecuador-India defence partnership.

On October 11, 2015, the Ecuadorian government announced the decision to ground the entire fleet of Dhruv helicopters following a series of troubling incidents where four of the seven helicopters crashed in separate accidents. Of these, Ecuadorian officials attributed two crashes to pilot error, while the other two were linked to mechanical failures. Compounding the situation, the Ecuadorian government voiced concerns regarding HAL's failure to deliver certain spare parts, which raised questions about the support provided post-purchase. In defence of the Dhruv helicopters, HAL pointed to its experience with over 200 units operating successfully within the Indian military, asserting that the accidents were likely due to how the Ecuadorian forces were handling the machines. The Indian manufacturer also noted that the 24-month warranty period for after-sales service had lapsed but expressed willingness to send a technical team to address any unresolved issues in Ecuador.

Furthermore, Ecuador's decision to sell its remaining three helicopters in 2016 highlighted the growing rift in operational trust and satisfaction with the equipment acquired from India. Despite these difficulties, high-level interactions have marked the defence engagement between the two countries. Notable visits include Ecuadorian Vice Chief General Rodrigo Bohorquez attending Aero India in February 2007 and Brigadier General Raúl Banderas Dueñas participating in the Defence Expo in February 2010. These interactions culminated in the signing of a Memorandum of Understanding (MoU) on defence cooperation in 2011, signifying a commitment to strengthen bilateral ties in the defence sector.

The diplomatic foundation for this relationship is further bolstered by the presence of a Defence Attaché from the Ecuadorian government in its embassy in New Delhi. In a similar vein, the Defence Attaché from the Embassy of India in Santiago, Chile, also provides joint accreditation to Ecuador. This arrangement facilitates ongoing dialogue and collaboration, exemplifying the strategic importance both nations place on defence partnerships, despite past challenges with equipment procurement and operational efficiency.

Cultural Cooperation Initiatives

Ecuador and India have cultivated a strong cultural relationship, underscored by the signing of a Memorandum of Understanding (MoU) on cultural cooperation in 2006. This agreement facilitated a series of exchange programs aimed at enhancing mutual understanding and appreciation between the two nations. From 2009 to 2011, a variety of cultural exchange activities were conducted, allowing artists, cultural practitioners, and students from both countries to engage with each other’s traditions and practices. These initiatives not only promoted art and culture but also fostered deeper interpersonal ties between the Ecuadorian and Indian people.

Indian Presence in Ecuador

As of December 2016, approximately 350 Indian nationals were residing in Ecuador. This community predominantly consists of individuals engaged in the service sector and small businesses, contributing significantly to the local economy. Indian immigrants have often brought their entrepreneurial spirit to Ecuador, setting up restaurants, grocery stores, and other small enterprises that enhance the diverse tapestry of Ecuadorian society. The Indian diaspora also plays a crucial role in strengthening the cultural narrative between the two countries, sharing their customs, traditions, and culinary practices with the local population.

Future of Cultural Exchanges

Looking ahead, there remains ample opportunity for future cultural collaborations between Ecuador and India. Increasing the exchange of cultural programs and events could further benefit both nations by opening up avenues for tourism, educational partnerships, and joint exhibitions. Initiatives such as bilateral festivals, art competitions, and language exchange programs could be explored to deepen cultural ties. Such efforts would not only celebrate the rich heritages of both countries but also pave the way for more robust bilateral relations. Overall, fostering these connections through cultural exchange is vital for enhancing understanding and unity in a globalized world.

Foreign Aid and Cooperation

In pursuit of strengthening bilateral ties, India and Ecuador took a significant step in August 2009 by agreeing to establish a Centre for Excellence in Information Technology. This initiative aimed to enhance technological skills and foster educational collaborations between the two nations. Located at the Northern Technical University (UTN) in Ibarra, the Centre was officially opened in 2015 and serves as a vital resource for Ecuadorian students and professionals interested in information technology. This initiative underscores India's commitment to aiding Ecuador in developing its human capital in the tech sector.

India has actively responded to humanitarian needs in Ecuador through various contributions. In line with this cooperative spirit, India donated substantial quantities of medicines in 2008 and 2010, providing assistance in times of need at the Ecuadorian government's request. Notably, following the devastating earthquake on April 16, 2016, which caused significant loss and damage in Ecuador, India stepped up its support by delivering 15 tons of essential medicines. Such humanitarian gestures not only reflect India's commitment to aiding its partners in crisis but also strengthen the bonds of friendship between the two nations.

Additionally, Ecuadorian citizens benefit from India's emphasis on education and mutual learning by being eligible for scholarships through the Indian Technical and Economic Cooperation Programme (ITEC) and the Indian Council for Cultural Relations (ICCR). These scholarship programs are designed to promote capacity-building and cultural exchange, allowing Ecuadorians to gain valuable skills and experiences in India. Such initiatives not only enrich the educational landscape but also enhance people-to-people ties, fostering a deeper understanding between the two countries. Through these measures, India continues to play a pivotal role in supporting Ecuadorian development while simultaneously promoting bilateral cooperation across various sectors.