Yunnan Province : The flying gull of China's reform and opening up policy
- Part 2 -

Puyam Rakesh Singh *

Yunnan in China :: Pix - wikipedia/TUBS

Chinese Premier Wen Jiabao's visit to Myanmar in June 2010 was significant in terms of pushing economic integration between Yunnan and Myanmar. Out of the 15 agreements reached during his visit, the agreements on construction of energy pipelines, communication and transportation were important. In fact, Beijing has strong interests in developing road and rail connectivity between Yunnan and Myanmar ports.

Wen Jiabao also expressed that China values the relations with Myanmar from a strategic perspective. Implementing the strategy of transport infrastructure connectivity between China and Myanmar is the most important bilateral issue after the successful implementation of the energy pipeline projects. However, the border areas security in Northern Myanmar remains a headache for Beijing in its relations with Myanmar. Security cooperation, intelligence sharing and strategic communication mechanism have been stepped up to deliver stability.

The conflict situation in Northern Myanmar is disturbing to the bilateral ties but it has not affected the pipelines and, most probably, will not affect them in future. During Chinese Premier Li Keqiang's visit to Myanmar in November 2014, the two sides reached an agreement on implementing inter-connectivity projects. In fact, the controversial road cum rail connectivity project to link Kyaukphyu to Kunming is at the heart of negotiation after successful implementation of the pipeline projects. River systems are also being exploited to provide transport facilities.

In addition to transport infrastructures, telecommunication is an important sector. China Unicom has completed the 1500-km fibre-optic link connecting Yunnan and Ngwe Saung Beach in the Ayeyawady Delta of Myanmar. It will be connected to the SEA-ME-WE 5 cable system for ultra-broadband internet access. The project began construction in 2011 at the cost of $50 million. It will also facilitate Kunming to become a major financial centre in the region.

Aspiring for cross-border trade in Renminbi, the Dianchi Summit for Financial Cooperation was held in Kunming in July 2010. The move was also for internationalising the Chinese currency. These developments are co-ordinated with Yunnan's air connectivity, road construction, expansion of railway and other transport facilities for economic integration with the neighbouring countries. The new Kunming Changshui International Airport was built with the aim of expanding global air connectivity.

The State Council approved the 'bridgehead' strategy to boost its foreign trade and enhance manufacturing capacity. Moreover, the focus on Yunnan has increased Ruili's strategic importance to push ahead China's reform and opening-up. Beijing has given support to attract investment and enhance manufacturing capacity to improve the living conditions of the people through more job creation. It is done through taxation, financing, investment and preferential policies for local industries and clean energy projects for economic growth.

A short trip to Yunnan will prove that China is seriously engaged in building Yunnan as the 'bridgehead' of China. Furthermore, the highways and rooftops of Yunnan prove of successful implementation of green energy projects. The wind and solar energy projects have benefited many people. Again, the energy pipelines will reduce dependence on coal to control air pollution. Yunnan's foreign trade has seen annual increase and many regional connectivity projects are being implemented to push it further. The ASEAN, the European Union and the US are the major trade partners of Yunnan. Isn't Yunnan landlocked?

The land ports, logistics, information networks and cross-border transport agreements are aimed at facilitating the development of a single freight transport system. The highways connecting Yunnan to Laos, Thailand, Vietnam and Myanmar are indications of China's expanding interests in the region. The highway No. 320 connecting Shanghai and Ruili border city in Dehong Prefecture shows that Ruili is not neglected by Beijing. The road connecting Kunming to Mandalay via Lashio is Myanmar's most important economic route and it also serves China well.

The importance of the 'Burma Road' for China during the WW II was known to Generalissimo Chiang Kai-shek. In the 21st century, the strategic and economic importance of the road is beyond comparison for the two neighbouring countries. Tengchong, Longling, Mangshi, Wanding and many other battlegrounds in Dehong and Baoshan Prefectures of Yunnan are still remembered as sites of the WW II. Similarly, the world has not forgotten Imphal and Kohima battles. The only difference is that these parts of Yunnan on the west of Nu River (Salween) have become part of the global economic map unlike Imphal and the surrounding areas. Compared to Jiegao, Moreh is a joke.

Again, if the quality of the roads has anything to do with mutual trust and closer economic relations, the Indo-Myanmar Friendship Road has a long way to go. In Ruili, more than 30,000 Myanmar nationals crossed the border daily to work in jewellery, logistics and interpretation. Fighting continues along the China-Myanmar and Myanmar-Thailand borders but economic relations expand un-interrupted across the borders. Meanwhile, the governments are actively engaged in improving the situation to avoid closer of borders even for a short period.

Comparatively, the Indo-Myanmar border stretching from Anjaw district of Arunachal Pradesh to Lawngtlai district of Mizoram has seen little economic transaction since 1947. When Myanmar was under economic sanctions, China and Thailand played major roles in sustaining Myanmar's economy. It seems Myanmar is more comfortable doing business with China and the ASEAN countries. Though having potentials to become major economic partner, New Delhi has to pass through many ranges and thick jungles to look eastward. As of now, crossing the Indian Ocean remains the safest and the easiest route. Or, does New Delhi like adventure sports like mountaineering and trekking? Another factor is the long eastern coast of India from where traders can reach Myanmar and other Southeast Asian countries smoothly.

Yunnan's development is being facilitated by the economic boom in the coastal region under the 'Western Development Campaign'. While the income gap is being reduced, the strategic importance of Yunnan to bypass Strait of Malacca and shorter transportation through Myanmar will continue to find favour in Beijing. This is naturally followed by GDP growth and high per capita income. Truly speaking, changes in Yunnan are in reality, not just in rhetoric to fill the newspaper pages. The little change Manipur has seen in the last few years is like the case of the CCTV cameras in Imphal that hardly serve the purpose. Manipur should not forget the BCIM Car Rally and the BCIM Economic Corridor project.

Concluded...