New Delhi: The Government has announced that companies from nations that share a land border with India are barred from bidding for government contracts for goods and services until they register with the industry department, according to an official statement. It is clear that this is directed at China, though there are other countries on the list. Previously, New Delhi had made it mandatory for suppliers to mention the country of origin on the government’s e-Marketplace while bidding for tenders.
The measure aims to reverse the growing dependence on China for goods and services including raw materials that had developed over the last 10 years. China is India’s biggest source of imports. Earlier, the government had banned the use of 59 Chinese apps, while goods purchased from China were delayed at Indian ports after the deadly Galwan Valley conflict in Ladakh. Harsh Pant, a professor of international relations at King’s College London is reported by NDTV as saying that, “Such moves are a calculated response to shape Chinese calculus on the border issue which is getting serious by the day in the absence of any commitment by the Chinese to resolve it amicably.”
The development comes at a time when both the nations are engaged in talks to defuse a border standoff. India on Thursday said it expects the Chinese side to be sincere in completing the disengagement of troops along the Line of Actual Control. A spokesman of the foreign ministry did not immediately respond to a text message whether recent curbs are aimed at China while a spokesperson of the prime minister’s office was not immediately reachable over the phone during office hours.
So what does the notification say?
- Norms have been relaxed in some cases, including procurement of medical supplies for containment of Covid-19, until Dec. 31
- New rules to apply to all new tenders; in cases where tenders have already been invited, if the initial stage of evaluation of eligibility has not been completed, unregistered bidders will not qualify
- Contractors won’t be allowed to even sub-contract to the unregistered entities from nations sharing a land border with India
- Tenders will be canceled if the first stage of evaluation is complete
- New norms to apply to state-run banks and financial institutions, state-run companies and public-private partnership projects receiving financial support from the government
- State governments will also have to abide by the new norms, they can appoint the competent authority; political and security clearance is mandatory
The step of further tightening of rules for the bidding process was taken as border disengagement and de-escalation are not moving in a positive direction, said Pant.
But will the move aggravate the already tense situation?
While de-escalation talks have made some headway in the Galwan Valley, in other flashpoints its another story. Chinese troops are reluctant to step back further from Pangong Tso and Patrolling Point 17A at Gogra, two of four friction points along the Line of Actual Control in Ladakh, a top source in the Army said Thursday that Corps Commanders of the two sides could meet again next week to “break the logjam” over the disengagement of troops according to a report in The Indian Express.
The “need for another military or diplomatic meeting is being felt,” the source said, especially over the situation in Pangong Tso where “some differences have emerged” on the “status and claims” of the LAC and rearward movement of troops. The disengagement and de-escalation processes, the source said, are “presently stalled”. Also Thursday, the Ministry of External Affairs said, “another meeting of the Working Mechanism for Consultation & Coordination on India-China Border Affairs (WMCC) is also expected to be scheduled soon”.
In May, Chinese troops came up to Finger 4 on the Pangong Tso north bank, 8 km west of Finger 8 which India says marks the LAC. As part of disengagement of troops, they vacated the Finger 4 base area and headed towards Finger 5. But the PLA continues to occupy positions on the ridgeline at Finger 4.
At PP 17A, the Army source said there has been “no change of status since the last report and some troops continue to be engaged at this location”. Sources had earlier said that around 50 troops each on both sides are still within a kilometer of each other at this location.
At PP 15 in the Hot Springs sector, the Chinese “indicated they will move back without conditions” further on their side of the LAC, the Army source said. The pullback, the source said, was likely to resume Thursday itself. The gap between soldiers of both sides at PP 14 and PP 15 is around 4 km and 10 km, respectively.
At PP 14 in Galwan Valley, the fourth friction point, Chinese troops have moved back to their side of the LAC. The source said some Indian Army vehicles got “stranded” and most have since been “evacuated through crossings made on the river for this purpose”. It was at PP 14 that 20 Indian Army personnel were killed in clashes with Chinese troops on June 15.
On Thursday, Anurag Srivastava, spokesperson for the Ministry of External Affairs, said: “As conveyed earlier, respecting and strictly abiding by the LAC is the basis of peace and tranquility in the border areas. Several agreements concluded by India and China since 1993 firmly acknowledge this. In my statement of June 26th, I had noted that the conduct of Chinese forces this year, including the deployment of a large body of troops and changes in behavior, accompanied by unjustified and untenable claims, has been in complete disregard of all the mutual agreements. We have also made it clear that India is fully committed to observing and respecting the LAC and that we will not accept any unilateral attempts to change the status quo along the LAC. The two sides have agreed during the conversation of the Special Representatives to work towards complete disengagement of the troops along the LAC and de-escalation from India-China border areas for full restoration of peace and tranquility,” he said.
“Both sides are engaged in discussions through the established diplomatic and military channels to achieve this objective expeditiously. I had informed last week that the 4th round of the meeting of the Senior Commanders was held on 14th July, where they also discussed further steps to ensure complete disengagement. In this context, another meeting of the Working Mechanism for Consultation & Coordination on India-China Border Affairs (WMCC) is also expected to be scheduled soon,” Srivastava said.
