The Urgent Case for ASEAN Integration – Part Two

This is the second of three posts that seeks to make the case for urgent action into ASEAN integration. This second post will elaborate on the potential benefits of regional action.

The need for a strong counter weight to the two super-powers to its North and West has already been made in the previous post. With the global trend as it is, a strong regional community is probably the only way forward for any nation in the modern world.

The perceived surrender of some portions of national sovereignty to a regional community actually allows the nation to further project its own independence and voice to the global community. The importance of belonging to a larger regional community provides comparably smaller nations with the leverage to advocate its intentions. For example, it is impossible to imagine the sovereign nation of Trinidad and Tobago meeting and discussing issues on a more equitable level with one of the BRIIC if it is not part of a bigger group such as the Caribbean Community. The Maldives can get a better airing for its particular concerns because it is backed by the South Asian Association for Regional Cooperation. Even larger nations stand to gain from this, for it will be better able to push its agenda if it has the support of regional allies.

Working together with a regional group is also a more efficient way of reaching consensus than trying to negotiate the maze of 193 nations. Take for example measures on climate change. All nations recognize that there is a pressing need for the reduction of carbon emissions, to protect the global environment so that there will remain a world for tomorrow. However, because of other political considerations, these nations have resorted to an infantile waiting game, with everybody waiting for somebody to do something, but nobody willing to be that somebody and do anything, hence the impasse. A decentralization of environmental negotiation to a regional body should be more effective in panning out concrete and region-specific measures than the Copenhagen Climate Conference. The generally good relations of regional nations make for more constructive discussion to take place. The substantially lesser number of nations involved translates into significantly lesser diplomatic hassles and compromises needed to be made. And the commonality of geo-political situation enables a unified regional goal to be identified (the integrated action of Singapore, Malaysia, Indonesia and Thailand on haze is a good example).

Economic integration is fundamental for any small country to overcome its lack of population, and for larger nations to reach their maximum potential. A common market like that European Economic Area is hence beneficial to a regional bloc like ASEAN. The global market system is quantitative; developing nations may not have similar infrastructure to other more developed nations, however the sheer size of their population (especially the percentage of middle and working class, who drive the economy) allows them to grow. The United States is a prime example. Consider the disparity in income during the American Civil War between the Industrialized North (with a greater working and middle class) and the land-owning South. Its emergence as a great economic power was in part due to its embrace of Industrialization and its burgeoning middle and working class. Its great effect on the world, as evidenced by the global chain reaction of its economic collapses, is also due to the spending power of these groups which account for about 231 to 292 million of the nation’s 307 million people. A single regional market increases the main consumer base of any business exponentially and by doing so allows the country to develop. A single ASEAN market will increase the main consumer base of a Singaporean company from some 4 million to probably 300 million. Indonesia can almost triple its economy by achieving economic integration. Jollibee might be better able to expand into the ASEAN region and develop into a fast-food brand that can rival McDonalds. Local Small-Medium Enterprises (SMEs) would also be able to expand their market, because their small market will get a breather from the challenge of the Big Boys.

The safety net achieved with having key economic partners nearby is rarely considered. The effect of most policies will be felt by their neighbours within a certain regional radius because these nations are so near each other. It is only metropolises and major powers that would have a more global effect. It also means that the cooperative will is more sincere, and no nation will be left smarting from some unsavoury act by a bordering state. For example, South Korea would probably have to be more responsible if it were to buy crop land in North Korea, China or Mongolia rather than Madagascar. The safety net also insulates the regional economy from a recession in other places. When the economy of the United States collapses, a revitalized regional bloc will not need to fear that it would similarly plunge into recession because it has its own hinterland to rely on, ala the Chinese economy during the recent financial meltdown in Wall Street.

Another issue that commentators constantly worry about is that of Human Rights, and the common method is to agitate for Human Rights now. However this will only set back the social advancement of a nation. Instead, belonging to a regional community will actually help the development of human rights. Superimposing this idea on Myanmar would demonstrate the point. The global community consistently pushes Myanmar to release Aung San Suu Kyi, hold fair elections and liberate its people from poverty. However all it does is to unwittingly draw the military junta further into itself, thereby causing it to become even more insular. It harms the hopes of the Burmese for a better life, and the nation’s chance of moving towards a democratic meritocracy. Imagine however, trading and developing the Burmese economy. To fill its required jobs the junta will need to better the conditions of its people, materially and intellectually. As the people begin to advance in education and skill level the government will be made to progressively liberalise the state in order to justify itself and keep itself in power. As its economy develops it will eventually reach a developed stage where only by advancing into a democracy will make itself attractive as a developed market. Besides, sanctions and what not only harm the very people that the Human Rights groups claim to speak for, it does not actually affect the regime itself. Admittedly, it is a slow process, but the impatient modus operandi will only hold back this eventual course.

Having listed the potential benefits of regional integration it is now timely to suggest some possible methods for this integration to be proceeded with.

Next Post: Some Suggestions and a Couple of Problems for an ASEAN Community