ASEAN to remain India's largest partner, says Modi

"After a temporary decline, our trade increased to about US$76.5 billion in 2014-2015 and so has investments in both directions.

"Much of the potential for economic partnership remains untapped. I am confident that our trade and investment will expand as our economies grow," he said at the opening of the ASEAN-India Summit here today which was attended by Malaysian Prime Minister Datuk Seri Najib Tun Razak.

Besides, Modi said the entry into force of the Trade-in-Services and Investment Agreements in July 2015 was a major step forward.

"We also look forward to progress in negotiations for a balanced and ambitious Regional Comprehensive Economic Partnership Agreement that covers goods and services, as well as, investments.

"Connectivity is the pathway to shared prosperity. The trilateral highway project linking India to Myanmar and Thailand, is making good progress and should be completed by 2018," he said.

Modi also said India proposed to commit a US$1 billion line of credit to promote projects that support physical and digital connectivity between India and ASEAN.

Meanwhile, India's partnership with Cambodia, Laos, Myanmar and Vietnam in capacity building projects would also expand via a project development fund to develop manufacturing hubs in those countries, said Modi.

"We will enlarge the ASEAN-India Science and Technology Development Fund from the current US$1 million to US$5 million.

"We also intend to set up an ASEAN-India Innovation Platform to facilitate commercialisation of low cost technologies, technology transfer and collaborative research and development projects," said Modi.

The Indian prime minister also said India's cooperative project in space technology, to be located in Vietnam, was making concrete progress.

"I assure you of its early completion," he said.

On research and innovation, Modi said efforts must cover a range of common challenges such as massive urbanisation and mega cities; skills for the future; food security; water; and, affordable healthcare.

India also planned to offer over 100 training slots in renewable energy in their institutions to ASEAN member states, he said.

Earlier, in his opening remarks at the summit, Najib said ASEAN recognised India's various contribution in accelerating its community building process that would strengthen ASEAN-India partnership in the long-run.

The Malaysian prime minister said ASEAN valued India's unwavering support and active participation in numerous programmes and plans as a vital mechanism and platform for both to exchange views on global and regional issues.

"This will ensure active coordination between India and ASEAN member states. I look forward to further enhance that cooperation at this summit," said Najib.

Present were Singapore Prime Minister Lee Hsien Loong, the Philippines President Benigno S Aquino III, Thai Prime Minister Prayut Chan-O-Cha, Vietnamese Prime Minister Nguyen Tan Dung and Laos Prime Minister Thongsing Thammavong, Prime Minister of Cambodia, Hun Sen; Indonesian President Joko Widodo, Myanmar President U Thein Sein and the Sultan of Brunei Sultan Hasanal Bolkiah.

Najib believed the good efforts would continue between ASEAN and India with the adoption of the new Plan of Action (2016-2020) at the summit to further enhance cooperation along the political, security, economic and socio cultural pillars.

He said this achievement was in line with Malaysia's ambition to bring ASEAN closer to its people but advised them not to be carried away as challenges continued to surface on the road to success.