Indian Ocean Rim: Assessing the prospects for cooperation and integration

This article assesses recent events leading to the establishment in 1997 of a regional organisation for the Indian Ocean Rim, subtitled an Association for Regional Cooperation (IOR‐ARC). This is a case of ‘open’ regionalism of the functionalist kind. New members may be admitted in 1999 and, as trade integration has not been ruled out, the openness of the design may lead to the changeover from regional cooperation to regional integration after 2004. By 2003 the members of the Association for South‐East Asian Nations (Asean) of the IOR‐ARC will have free‐trade arrangements in that region and by 2004 the SADC members of the IOR‐ARC will be similarly structured, making a free‐trade scenario within the IOR almost irresistible. This will create new problems, making it very difficult for the less competitive nations to endorse their continued membership of this bloc unless project cooperation now under way makes complementarity more meaningful, equipping states and market sectors to cope better with the more competitive nature of free trade that always applies in market integration. This will pose great challenges for South Africa.

Notes

Professor, Department of Political Science, University of Stellenbosch. The author gratefully acknowledges financial support from the Division of Research Development,’ University of Stellenbosch.