Trade Relations
The historical ties between India and Korea can be traced back to ancient times, showcasing a rich tapestry of cultural and commercial exchanges. Notably, Indian diamond-drilled carnelian beads from as early as the proto Three Kingdoms period (100–669 AD) have been found in Korea, indicating that trade existed long before modern-day diplomatic relations were established. Such artifacts serve not only as evidence of the trading activities between the two regions but also highlight the early interactions that may have influenced cultural exchanges, craftsmanship, and technological advancements.
The foundation of trade relations between India and South Korea was further strengthened in the 21st century. The two nations officially initiated their economic partnership through the India-Korea Comprehensive Economic Partnership Agreement (CEPA) in 2010, which aimed to boost trade and investment by reducing tariffs and enhancing cooperation across various sectors. This modern agreement reflects the commitment of both countries to foster a mutually beneficial economic relationship, which has led to a substantial increase in bilateral trade.
In recent years, South Korea has emerged as one of India’s key trading partners in Asia. Bilateral trade reached approximately $21 billion in 2020, covering sectors such as electronics, automobiles, textiles, and machinery. South Korean companies have invested significantly in India's growing market, leveraging the country’s vast human resources and favorable investment climate. Meanwhile, Indian exports to South Korea have included textiles, pharmaceuticals, and IT services, showcasing the depth of trade in both directions. The mutual interest in enhancing trade is evident, as both nations continue to explore new avenues for collaboration, particularly in areas like technology, renewable energy, and infrastructure development.
Overall, the historical context of trade, combined with modern agreements and growing economic ties, illustrates a deep-rooted relationship between India and South Korea. Continued efforts to strengthen these ties will likely pave the way for a more integrated economic partnership, further enriching the cultural and commercial interconnections between the two nations.
Buddhism originated in India and journeyed across Asia, eventually reaching the Korean peninsula in the 3rd century CE through various routes, notably via the Silk Road. Mahayana Buddhism, a prominent form of Buddhism, made its way from India to China before being introduced to Korea during the Three Kingdoms period, which consisted of Goguryeo, Baekje, and Silla. The historical record, particularly the Samguk yusa, documents the crucial contributions of three significant monks who helped establish Buddhism in Korea. Malananta, the Indian monk, brought the teachings to Baekje; Sundo, a Chinese monk, introduced the faith to Goguryeo; and Ado spread it to Silla. These introductions marked the beginning of Buddhism as a state religion, with Goguryeo adopting it in 372 CE, Silla in 528 CE, and Baekje in 552 CE, reflecting the evolving religious landscape of ancient Korea.
In the context of the development of Korean Buddhism, the monk Gyeomik traveled to India in 526 CE to deepen his understanding of Sanskrit and monastic principles, specifically the Vinaya code. He played a pivotal role in establishing the Gyeyul branch of Buddhism, which emphasizes the discipline of the Vinaya. This dedication to the foundational texts of Buddhism illustrates the long-standing connections between Korea and India, which have fostered a unique but intertwined cultural lineage. In more recent surveys, a considerable percentage of South Koreans identify as Buddhists, and while North Korea maintains an official stance of atheism, many citizens remain influenced by Buddhism's philosophies, indicative of the religion's deep-rootedness in Korean culture.
The historical ties between India and Korea are further evidenced in the accounts of Buddhist pilgrims, such as Yijing, who traveled to India in the 7th century. His observations about Koreans reflect their distinct customs, which included the intriguing legend that they were known as "worshipers of the rooster.” This cultural connection has persisted over the centuries and is highlighted by the dedication of the memorial for Heo Hwang-ok, believed to be an Indian princess who married a Korean king. This memorial, inaugurated by a Korean delegation in India, signifies the ongoing cultural exchanges between the two nations. The memorial's development and the establishment of a museum in Gimhae dedicated to Queen Heo further demonstrate the dedication to honoring shared histories and recognizing historical figures who encapsulated these rich cross-cultural narratives.
Korean monks such as Hyecho have also sought a deeper understanding of Buddhism by traveling to India. Hyecho visited India in 723 CE, seeking knowledge about the culture and language of the Buddha's land. His travelogue, "An Account of Travel to the Five Indian Kingdoms," offers insights into his experiences and observations during his time there. This work, long believed to be lost, showcases the vibrant literary and academic exchanges that occurred between Korea and India. Additionally, historical figures like the merchant Abu Ali, who navigated various sociopolitical landscapes across Asia, further exemplify the interconnectedness of these cultures throughout history. These narratives of travel, scholarship, and cultural interchange illustrate a rich tapestry of relationships that have developed over centuries, highlighting both Indian and Korean contributions to the broader Buddhist tradition and fostering connections that continue to resonate today.
Evolution of Modern India-South Korea Relations
The relationship between India and South Korea underwent significant transformations during the late 1990s, particularly in the aftermath of the 1997 Asian financial crisis. This crisis prompted South Korean businesses to increase their access to global markets, leading to enhanced trade investments with India. The establishment of the India–Republic of Korea Joint Commission for bilateral cooperation in February 1996 marked a formal step in this direction. Chaired by India's External Affairs Minister and the South Korean Minister of Foreign Affairs and Trade, the Joint Commission has held six meetings, the most recent occurring in Seoul in June 2010. This mechanism has served as a platform to discuss and promote collaborative opportunities across various sectors.
Former South Korean President Roh Tae-woo notably championed the integration of India's software capabilities with Korea's IT industry, suggesting that such collaboration could yield significant outcomes. This sentiment was later echoed in various diplomatic engagements, where both nations sought to revise visa policies, expand trade, and negotiate a Free Trade Agreement (FTA) to facilitate further investments. This proactive approach was evident during Indian President Abdul Kalam's state visit to South Korea in February 2006, which initiated talks on a Comprehensive Economic Partnership Agreement (CEPA). This agreement was eventually signed on 7 August 2009 by Minister for Commerce and Industry Anand Sharma in Seoul.
The bilateral relationship was further elevated when Korean President Lee Myung-bak visited India for the Republic Day celebrations on 26 January 2010, a visit that effectively transformed their ties into a Strategic Partnership. Cultural exchanges have also deepened, exemplified by the establishment of an Indian Cultural Centre in South Korea in April 2011. The more recent Festival of India in Korea, inaugurated by Dr. Karan Singh on 30 June 2011, played a pivotal role in fostering cultural ties. These efforts underscored the intrinsic link between cultural diplomacy and broader diplomatic relations.
During Indian President Pratibha Patil’s state visit to Korea from 24 to 27 July 2011, significant agreements were reached, including the Civil Nuclear Energy Cooperation Agreement, further solidifying strategic collaboration. However, not all military agreements proceeded as planned; the cancellation of a contract for eight warships from South Korea in June 2012 reflected challenges in defense cooperation despite growing military ties. Prime Minister Manmohan Singh’s official visit to Seoul later that March also emphasized bilateral strategic partnerships, particularly through discussions on Nuclear Security and the simplification of visa protocols, which were formalized in a joint statement.
The evolving dynamic reached a new industrial milestone in July 2018 when South Korean President Moon Jae-in and Indian Prime Minister Narendra Modi jointly inaugurated Samsung Electronics's smartphone assembly factory in Noida. This facility stands as the largest of its kind globally, symbolizing the height of economic cooperation between the two nations. In this landscape of growing ties, both countries continue to explore diverse avenues for collaboration, underscoring their mutual commitment to enhancing relations across economic, cultural, and strategic sectors.
Strengthening Indo-Korean Cooperation
The recent 2+2 policy dialogue held in Seoul showcased the growing recognition of shared values and strategic interests between South Korea and India. Park Cheol-hee, chancellor of the Korea National Diplomatic Academy, highlighted the commonalities that both nations possess, particularly in facing a rapidly changing global landscape characterized by uncertainty and instability. This indicates a mutual understanding that collaboration is essential in navigating complex international relationships and geopolitical challenges.
Vijay Thakur, director general of the Indian Council of World Affairs, emphasized the strategic importance of deepening the India-South Korea partnership, particularly within the Indo-Pacific region. The Indo-Pacific has become a focal point for global trade, security, and diplomatic relations, and both countries see a robust partnership as vital for their economic and strategic prosperity. As India continues to expand its presence in the region and South Korea seeks to bolster its influence, a collaborative approach could yield significant benefits.
Both countries have recognized the necessity of partnership in various sectors, ranging from technology and trade to defense and cultural exchanges. The 2+2 dialogue not only reflects the commitment to enhancing bilateral relations but also aims to foster multilateral cooperation that can address broader regional security dynamics. This is particularly relevant given the rising influence of China and the ongoing challenges posed by North Korea.
The potential for developing joint initiatives in technology and innovation, as well as education and research, can serve as a springboard for even closer ties. By combining South Korea's technological expertise with India's rapidly growing market, both nations could create pathways for economic growth and stability in the region.
In conclusion, the dialogue between South Korean and Indian research institutes reaffirms the commitment of both nations to work collaboratively in addressing the challenges of an evolving global landscape. With shared strategic interests and common goals, South Korea and India are well-positioned to become key partners in promoting peace, security, and prosperity in the Indo-Pacific region.
Trade Dynamics
The trade relationship between India and South Korea has experienced significant fluctuations over the years. Total trade has seen impressive growth, peaking in some years, while also exhibiting declines during certain global economic downturns. In 2007, the total trade between the two nations stood at approximately USD 11.22 billion, reflecting a robust growth of 22.35%. This initial rise served as a strong foundation for further expansion in subsequent years, with 2008 witnessing a striking increase to around USD 15.56 billion, marking an extraordinary growth of 39%.
However, the economic downturn of 2009 posed challenges to this trajectory. A notable contraction occurred, with total trade plummeting to USD 12.15 billion, a decline attributed to the global financial crisis. Both Indian exports to South Korea and South Korean exports to India echoed this trend, with significant drops in their respective contributions. As the years progressed, India and South Korea rebounded, restoring confidence in their bilateral trade. By 2010, total trade had surged again to USD 17.11 billion, bolstered by increasing exports from both countries, particularly in fields such as electronics, textiles, and automotive sectors.
The subsequent years continued to reflect a complex trade dynamic, with some years witnessing growth while others recorded declines. For instance, in 2011, total trade hit USD 20.55 billion, backed by a considerable increase in Indian exports. However, in the following years, both exports and total trade encountered obstacles, leading to significant variations. The period between 2014 and 2016 showcased marginal growth, emphasizing the volatility in negotiating terms, currency fluctuations, and shifting consumer demand.
As of 2017, a rejuvenation in trade emerged, with total trade amounting to USD 20 billion—an increase propelled by strong South Korean exports, particularly in technology and machinery. This trend continued into 2018 and 2019, albeit with differences in rates of growth. However, the year 2020 saw a stark decline, largely due to the impact of the COVID-19 pandemic, which disrupted supply chains and altered trade dynamics on a global scale. Nevertheless, both nations are focused on reinvigorating their trade relationships, capitalizing on areas such as digital technology, renewable energy, and pharmaceuticals to set the stage for potential recovery moving forward.
Through enhanced cooperation, India and South Korea are poised to cultivate a trade partnership that not only buffers against external shocks but also seeks to leverage their economic synergies for mutual growth.