[NEWS OF THE DAY]

Army Chief visits forward areas along LAC in Central Sector

Chief of Army Staff (COAS) General Manoj Pande on Sat visited forward areas along the Line of Actual Control (LAC) in the Central Sector and was briefed by the commanders on the ground on the prevailing security situation. The Central Sector includes Himachal Pradesh and Uttarakhand. He also interacted with troops and complimented them for their resoluteness and high morale. Last month, COAS visited forward areas along the Line of Control in J&K, after taking over as the COAS. The COAS was briefed on the security situation and operational preparedness. The Formation Commanders also briefed the COAS on the existing Ceasefire Agreement on the LoC, development works on field fortifications, counter-infiltration grid, operational preparedness, and Army-citizen connect in border areas. (here)

S-400 defense missile system delivery proceeding well: Russian envoy

“The best-of-a-kind S-400 systems delivery is proceeding well according to the schedule”, Russian Ambassador to India Denis Alipov said. Notably, India had inked the USD 5.43 billion deal with Russia for 5 squadrons of S-400s in Oct 2018, which timely delivery amid the Russian -Ukraine conflict is not easy. (here)

Bridging the Gulf: PM Modi likely to visit UAE

ThePrint- Amid the diplomatic row between India and the Gulf nations, Prime Minister Narendra Modi is likely to visit the United Arab Emirates (UAE) on his way back from the G7 summit that will take place in Germany later this month. PM Modi was to be in UAE in Jan but the visit was canceled due to the pandemic. However, the government believes now is an “opportune” moment to strengthen bilateral ties with the UAE considering the flak India has been receiving over the controversial remarks made about Prophet. Modi will be traveling to Schloss Elmau in Germany to attend the G7 Summit scheduled to be held from June 26 – 28. The advance team from the ministry of external affairs, which prepares for a PM’s visit abroad, is expected to leave for the UAE soon.

Why good relations with the UAE are crucial- not just for its dependence on trade and business but also for the large presence of an Indian community there. The visit also comes at a time when India and the UAE have signed a free trade agreement, officially called Comprehensive Economic Partnership Agreement, signed in Feb, is the first such trade pact inked by the Modi govt since it came to power in 2014. It is also the 1^st such trade deal signed by India with a Gulf country. CEPA which came into force in May is expected to double the bilateral trade to $100 billion in the next five years, up from the current $50-60 billion at present. India’s envoy to the UAE, recently said that govts are chalking out a 3-pronged strategy focusing on sector-specific initiatives that will be launched under the CEPA soon. (here)

With Chabahar in focus, Iran Deputy FM for economics Mehdi on India visit

With a key focus on the Chabahar port project and connectivity,  Iranian Deputy Foreign Minister for Economic Diplomacy Mehdi Safari is on a 2-day India visit starting Mon, the second high-level visit within 15 days. The visit comes even as the focus is on increasing economic engagement between the two countries. It is not known so far that will the issue of import of Iranian oil will be discussed during talks in Delhi. India is currently not buying crude oil from Iran after the American sanction in 2019. Weeks ago, Indian foreign minister Dr. S Jaishankar commented on sanctions on Iran oil vis a vis India importing oil from Russia. Speaking at an event in Slovakia, he said, “If countries in Europe, the west, and the US are so concerned why don’t they allow Iranian and Venezuelan oil to come into the market“. Importantly, Mehdi Safari has proposed the use of a single currency for Shanghai cooperation organizations member states. Tehran sent a letter to the grouping suggesting this measure to break US Dollar’s hegemony. Iran is expected to soon become a full member of the grouping and got unanimous support at last year’s SCO Summit for its bid. (here)

The rupee sinks below 78 against the US dollar for the first time

The Indian rupee slumped below 78 against the US dollar on Mon dragged by foreign fund outflows amid selloffs in the stock markets. At the interbank foreign exchange market, the partially convertible rupee started the day at 78.14 per dollar against its previous close at 77.84. The rupee hit a low of 78.23 against the US dollar in the morning trade. Incessant dollar outflows from the Indian equities and bond markets have led to a sharp drop in the value of the Indian currency. The Indian stock markets’ key indices, Sensex and Nifty, slumped by more than 2.5% on Mon. The 30 stock S&P BSE Sensex was trading 1404.39 points or 2.59% down at 52,899.05 points at 12.29 pm. This is the second consecutive session of a sharp drop in the benchmark index. The Sensex had lost 1016.84 points or 1.84% on Fri. In the last two sessions, Sensex has lost around 2400 points. There have been incessant outflows of foreign funds from the Indian markets. Since the beginning of the year, foreign institutional investors (FII) have pulled out around $24 billion from the Indian markets. The recent upsurge in crude oil prices has put pressure on the Indian currency. (here)

India will have its first hypersonic missile in 5-6 years: BrahMos Aerospace CEO

India-Russia defense Joint Venture BrahMos Aerospace is capable of making hypersonic missiles and will be able to have its first such missile in five to six years, Atul Rane, CEO of BrahMos Aerospace informed on Mon while speaking at an event over the commencement of ‘Silver Jubilee Year’ celebration (1998-2023). Starting on June 12 to mark 21 glorious years of the maiden supersonic launch of unbeatable BrahMos, the ‘Silver Jubilee Year’ celebrations would culminate on Feb 12, 2023, on the ‘BrahMos Raising Day’. Besides, there will be a user interaction meeting to acknowledge the contribution and professionalism of the Indian Armed Forces operating the world’s best supersonic cruise missile system. A National-level Competition on cutting-edge technology and its application in the missiles and aerospace field are to be held to orient and nurture young talent in the field of missile technology. The grand celebrations will culminate on Feb 12, 2023, (BrahMos Raising Day) during which important events would take place. (here)

[NATIONAL]

IAF plans to build 96 fighter jets in India under Rs 1.5 lakh cr for 114 combat aircraft

The Indian Air Force is planning to acquire 114 fighter jets of which 96 would be built in India, and the rest 18 would be imported from the foreign vendor chosen for the project. The Indian Air Force has plans of acquiring 114 Multirole Fighter Aircraft (MRFA) under the ‘Buy Global and Make in India’ scheme under which Indian companies would be allowed to partner with a foreign vendor. As per the plan, after the initial 18 aircraft are imported, the next 36 aircraft would be manufactured within the country and the payments would be made partially in foreign currency and Indian currency, ANI reported citing a source. The last 60 aircraft would be the main responsibility of the Indian partner and the govt would make payments only in Indian currency. The payment in Indian currency would help the vendors to achieve the over 60% ‘Make-in-India’ content in the project, the sources said. The IAF is also looking for a cost-effective solution for its fighter jet requirement as it wants a plane that is low on operational cost and gives more capability to the service. The IAF is highly satisfied with the operational availability of the Rafale fighter jets and wants similar capability in its future aircraft. (here)

Infiltration bid across India-Pakistan thwarted: BSF

Border Security Force (BSF) troopers thwarted an infiltration attempt across the India-Pakistan border at Arnia near Jammu late on Sun, an officer of the force said on Mon. The officer added the infiltrators were spotted around 9.30 pm. He added that the BSF troops challenged the infiltrators who fired and fled in the face of retaliation.

Three LeT terrorists killed in an overnight encounter in Pulwama

Three militants of the Lashkar-e-Taiba (LeT) were killed during an encounter in south Kashmir’s Pulwama district, police said on June 12. “All the three killed militants were locals and were linked with the LeT outfit. One slain was involved in the killing of a policeman Reyaz Ahmad on May 13 this year,” Inspector General of Police Vijay Kumar said. The other two slain militants were from Pulwama. In a late afternoon encounter, another LeT militant was killed in Srinagar, taking the militant toll for this year to 100. According to the police, a LeT militant, Adil Parray, was killed in a brief shootout in Srinagar.The ATS arrested 28-year-old Junaid Mohammad on May 24 from Pune’s Dapodi area, who was allegedly in touch with members of LeT’s terror network through social media platforms, as per the Maharashtra ATS. Following Junaid’s arrest, the teams of the ATS were conducting searches and making inquiries in various places in connection with the case.

‘India under Modi can’t be pressurized’: Piyush Goyal hardens stand at WTO

Union Commerce and Industry Minister, Piyush Goyal has toughened India’s stand at the 12^th World Trade Organisation’s ministerial meeting. He said that under the leadership of PM Modi, India has emerged as a global power and no one can pressure India to take decisions. Goyal further reiterated that the govt is committed to farmers and the poor of the country and their rights won’t be violated. He also slammed the WTO and rich nations for not doing enough to tackle the crisis due to the Pandemic and rising food prices. Members of the fishing community from several coastal areas of India on Sun protested against the WTO proposal to curb fishery subsidies as it was not responsive to the demands of the developing nations. During the meeting that began on June 12, fishermen assembled outside the UN Office, in Geneva and protested against the proposed cut and explained how huge fishing giants from Europe and China are responsible for the depletion of marine resources. According to the CMFRI Census 2016, the total marine fisher folk population is 3.77 million comprising 0.90 million families, residing in 3,202 fishing villages. Nearly 67.3% of the fishermen’s families were under the BPL category.

Prophet row: 70 Indian govt, private websites face cyber attacks

• After threats by al-Qaida, comments against Prophet Muhammad have led to a slew of cyber attacks on Indian websites, both govt and private. Orchestrated by the hacktivist group DragonForce Malaysia, (with 13k members) the series of attacks targeted the Indian embassy in Israel, the NIAEM, and the e-portal of the Indian Council of Agriculture Research, among other online platforms (from June 8-12). In all, the group hacked into about 70 websites, not sparing even educational institutions and other groups of colleges across the country. In Maharashtra alone, more than 50 websites were found defaced. Through audio clips and texts, the group sent out a common message — “For you is your religion and for me is my religion”. It also called on all Muslim hackers, all hackers around the world, human rights organizations, and activists to start a campaign against India. Indian authorities managed to restore the website of the Indian embassy in Israel by Sun. (here)
• Authorities demolish ‘illegally constructed’ house of Prayagraj violence accused– The Prayagraj Development Authority on Sun demolished the house of Javed Ahmad, alias Pump, the alleged mastermind of Fri’s violence, amid a heavy police deployment.
• ‘No compromise on the honor of Prophet’: Minister explains Bangladesh stand on row-Bangladesh will not compromise on any issue involving the honor of Prophet, though the controversy triggered by remarks by two former BJP spokespersons is largely an “external issue”, Bangladesh information minister Hasan Mahmud has said. However, The Bangladesh govt welcomes the action taken by Indian authorities against the BJP spokespersons and has no intention to “instigate the matter” said Sat. (here)
• Pak Foreign Minister Bilawal Bhutto-Zardari discussed the issue with the secy-general of the Organisation of Islamic Cooperation. Separately, Pakistan strongly condemned the heavy-handed treatment by the Indian authorities of Muslims who were registering a peaceful protest over the derogatory remarks. (here)
• Allahabad HC refuses to Quash FIR against Alt News’ Mohd. Zubair Over His Tweet Allegedly Calling 3 Hindu Seers ‘Hate Mongers’-It may be noted that Zubair was booked by the UP Police earlier this month under sections 295-A of the Indian Penal Code and section 67 of the Information Technology Act, 2000.

Rahul Gandhi faces ED questions in National Herald case

Congress MP Rahul Gandhi on Monday faced the questions of the Enforcement Directorate (ED) in a money-laundering investigation in the National Herald case. Gandhi entered the office of ED in central Delhi around 11 am after starting from the Congress office, and was accompanied by a large convoy of party leaders including Priyanka Gandhi Vadra, along with 2 CMs. He is being questioned by an Assistant Director level officer– the investigating Officer of the case– being supervised by a Deputy Director and a Joint Director. The BJP criticized the protest march for Gandhi. Attempt to suppress different ideologies: Sachin Pilot on denial of permission to Cong ‘Satyagraha march’ -After the Congress was denied the permission to hold a Satyagraha march in the national capital, party leader Sachin Pilot said attempts were being made by the Centre to suppress the voices of people of different ideologies. Delhi Police, however, denied permission to the Congress rally. Police have been deployed outside Rahul Gandhi’s residence additional security forces have been also deployed outside the Enforcement Directorate office in the national capital.

[NEIGHBORHOOD]

Shangri-La Dialogue

While the US superficially expressed the concern over ‘corrosive action’ of China in the Indo-Pacific, China strongly underscored that it will reunite Taiwan at any cost, including applying nuclear weapons. Notably, one leg QUAD, (Canberra) shows an inclination toward Beijing in its first meeting of FMs in the last 3 years, despite its puzzled over the Chinese attempt (failed) to link 10 island nations in the pacific ocean.

• Don’t turn South Pacific into US-China geopolitical ‘boxing ring’, Beijing says
• A senior foreign ministry official says China’s cooperation in the region has resulted in real benefits for its Pacific partners
• The US and its allies have long neglected the island nations, he says
• Japan, not China, disrupted East China Sea status quo: PLA official
• Australia’s deputy PM says China’s military build-up needs to be ‘transparent’ (here)

Why China is likely to focus more on Central Asia as US rivalry intensifies

As Beijing’s economic presence in the region continues to expand, so will its political influence, analysts believe (here)

• China will step up engagement with Central Asia as part of efforts to stabilize its western border and focus on its strategic rivalry with the US in the Indo-Pacific, observers said. (Here)
• The week before, Beijing had suffered a setback in its plans for a sweeping trade and security deal with 10 nations in the South Pacific, (here)
• The oil- and gas-rich steppes have traditionally been seen as Russia’s sphere of influence, but China’s growing economic presence in recent years under its BRI has boosted its clout in the region.
• It was during a visit to the Kazakh capital in 2013 that Xi first announced the BRI, his signature strategy to revive the medieval Silk Road to the Middle East and Europe through Central Asia.
• China is a major source of foreign investment for Central Asia and the region’s largest trading partner, with total trade soaring from US$460 mn in 1992 to US$38.6 bn in 2020.

Chinese defense officials take aim at US’ ‘aggressive’ Taiwan-Ukraine comparison

• Chinese military officials hit back at the US attempts to draw parallels between cross-strait tensions and the war in Ukraine, describing the comparison as very aggressive.
• At the Shangri-La Dialogue in Singapore on Sat, Chinese Senior Colonel Zhao Xiaozhuo said US Defence Secretary Lloyd Austin’s suggestion that Europe and the Indo-Pacific shared security concerns amid the Ukraine war was a clear slight at China.
• “He spent a long time talking about China’s ties with neighboring countries,” said Zhao, from China’s Academy of Military Sciences.
• Austin accuses Beijing of provocative and destabilizing military activity near Taiwan (here)

Will “Fight To The End”: China After US Remarks On Taiwan

• China will “fight to the very end” to stop Taiwan from declaring independence, the country’s defense minister vowed Sunday, as tensions soar with the US over the island.
• “We will fight at all cost and we will fight to the very end. This is the only choice for China,” Defence Minister Wei Fenghe told the Shangri-La Dialogue.
• “Those who pursue Taiwanese independence in an attempt to split China will come to no good end,” he said.
• “No one should ever underestimate the resolve and ability of the Chinese armed forces to safeguard its territorial integrity.”
• His speech came a day after Austin accused China of “provocative, destabilizing” military activity close to the island. (here)

“We request the US side to stop smearing and containing China. Stop interfering in China’s internal affairs. The bilateral relationship cannot improve unless the US side can do that,” Wei, dressed in the uniform of a general in the People’s Liberation Army, told the Shangri-La Dialogue.

Austin said on Sat there had been an “alarming” increase in the number of unsafe and unprofessional encounters between Chinese planes and vessels with those of other countries, adding that the US would stand by its allies, including Taiwan. Wei said the Chinese govt sought “peaceful reunification” with Taiwan but reserved “other options”.

Willing to engage with China, doesn’t want to close the door: Taiwan

Taiwan does not want to close the door to China and is willing to engage in the spirit of goodwill, but on an equal basis and without political preconditions, Premier Su Tseng-chang said on Sun. Relations between Taipei and Beijing, which claims democratically ruled Taiwan as its territory, are at their lowest in decades, with China increasing political and military pressure to get the island to accept its sovereignty. Speaking to reporters after China banned the import of grouper fish from Taiwan on safety grounds, a move Taipei called politically motivated, Su said Taiwan has always had goodwill towards China. China has refused to speak to Tsai since she was first elected in 2016, viewing her as a separatist who has refused to accept that China and Taiwan are part of “one China“. (here)

Nuclear arsenal ‘for self-defense’: China

China has made “impressive progress” in developing new nuclear weapons, but will only use them for self-defense, and never use them first, Wei told delegates at the Shangri-La Dialogue on Sun. In response to a question about reports last year on the construction of more than 100 new nuclear missile silos in China’s east, he said China “has always pursued an appropriate path to developing nuclear capabilities for protection of our country“. He added nuclear weapons displayed in a 2019 military parade in Beijing – which included upgraded launchers for China’s DF-41 intercontinental ballistic missiles – were operational and deployed. (here)

Two soldiers posted in Arunachal Pradesh missing for 14 days

Two Indian army soldiers deployed in Arunachal Pradesh have been missing for the last 14 days. The two 7^th Garhwal Rifles soldiers, who are from Uttarakhand, have been identified as Harendra Negi and Prakash Singh Rana, who were reported missing on May 28. The army has not stated the matter yet. The 2^nd phone call came on Jun 9 and they told me that both the soldiers were believed to have drowned in the river, said Mamta. (here)

China claims India sent weapons, and people on the “Chinese side of territory” at the LAC.

China and India are neighbors. Maintaining a good relationship is in the interest of both countries. That is what we are working on but on frictions along with the border areas, the merits of the issue are clear. I have personally experienced the start and end of the friction as a defense minister. We have found a lot of weapons owned by the Indian side. They have also sent people to the Chinese side of the territory. We had 15 rounds of corp Commander level with India and we are working together for peace in the area. (Wion)

Australia, China defense ministers meet for the first time in 3 years

Australia and China’s defense ministers met for the first time in three years on Sun, with the talks described as “an important first step” following a period of strained ties. Richard Marles, whose center-left govt came to power in May, held talks for over an hour with China’s Wei Fenghe on the sidelines of the Shangri-La Dialogue. Marles described the meeting as “an important first step” and “very significant”. The Chinese govt did not offer any immediate comment following the meeting. Relations between Beijing and Canberra have grown frosty in recent years. ‘Change of tone’-The patrol plane incident, described by Canberra as “very dangerous”, happened on May 26, when a Chinese aircraft intercepted the Australian jet and released a cloud of small aluminum strips, known as chaff. Australia is battling for influence with China among Pacific island states, with the new govt playing catch-up after years of relations being soured by the previous leadership’s foot-dragging on climate change. Marles underscored the importance of “open lines of dialogue” with China. (here)

Pakistan, Chinese militaries vow to enhance counter-terror cooperation

A senior tri-service military delegation of Pakistan, headed by the Chief of Army Staff, visited China, where the two sides pledged to enhance their “training, technology and counter-terrorism cooperation”. The army media wing stated that the delegation visited China from June 9 -12. “[The] apex Meeting was held on Jun 12 wherein the Pakistani side was headed by COAS while the Chinese side was led by General Zhang Youxia Vice Chairman Central Military Commission.” Both sides, discussed their perspectives on the international and regional security situation and expressed satisfaction with the defense cooperation between the two countries. But, at the same time, media reports spread skepticism about it by pointing to the possibility of Pakistan falling into China’s debt trap and the alleged absence of transparency in the projects. (here)

Stocks plunged more than 1,000 points on concerns over Budget 2022-23

The Pakistan Stock Exchange was witnessing intense selling pressure on Mon with the benchmark KSE-100 index opening in the red, reacting to the annual budget presented by the govt on Fri. Analysts linked today’s bearish activity to the govt increasing taxes on the banking sector in the budget, among other factors. According to the Pakistan Stock Exchange website, the index was down 1,003.83 points, or 2.39%, by 2:14 pm to reach 41,010.90, compared to Fri’s close of 42,014.73. (here)Dollar hits record level, rises to Rs204 in interbank trade- The US dollar rose to a historic high of Rs 204 against the local currency in the interbank market on Mon, with analysts attributing the rupee’s decline primarily to pending oil-related payments and declining foreign exchange reserves. (here)