<div style="text-align: justify; "><span style="font-size: 1rem;">A broad alliance of states on Saturday unveiled ambitious plans to create a modern-day Spice Route linking Europe, the Middle East and India, boosting trade ties with potentially wide-ranging geopolitical implications.</span><br></div><div style="text-align: justify;"><br></div><div style="text-align: justify;">The United States, Saudi Arabia, the European Union, the United Arab Emirates and others launched the initiative to link railways, ports, electricity and data networks and hydrogen pipelines on the sidelines of the Group of 20 summit in New Delhi.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">Although heavily trade-focused, the scheme could have wide-ranging implications -- including developing contacts between long-time foes Israel and Saudi Arabia.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">Signatories hope it can help integrate India's vast market of 1.4 billion people with countries to the west, offer a counterbalance to lavish Chinese infrastructure spending, boost Middle Eastern economies and help normalise relations between Israel and Gulf Arab states.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">"This is a real big deal," said US President Joe Biden at the launch event, calling the plan "historic".</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">European Commission President Ursula von der Leyen said the so-called India-Middle East-Europe economic corridor was "much more than 'just' a railway or a cable".</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">"It is a green and digital bridge across continents and civilisations," she said.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">One proposed project would link railway and port facilities across the Middle East -- including the United Arab Emirates, Saudi Arabia, Jordan and Israel -- potentially speeding trade between India and Europe by up to 40 percent.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">Pramit Pal Chaudhuri, South Asia practice head at the Eurasia Group, said a shipping container that today travels from Mumbai, through the Suez Canal to Europe could in the future go by rail from Dubai to Haifa in Israel and on to Europe, saving both money and time.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">At present, the Suez Canal is a major bottleneck to world trade, handling roughly 10 percent of global maritime trade but often beset by disruptions.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">In March 2021, the giant container ship Ever Given caused a nearly week-long stoppage in Suez traffic after it became lodged diagonally in the waterway.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">- 'Game changer' -</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">At the same time, the plan neatly aligns with several of Washington's goals in the Middle East, and officials say the United States is keen to see the projects take flight.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">Biden's administration is actively prodding Riyadh, a major oil producer and security partner, to normalise ties with Israel after decades of conflict and closed borders.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">Saudi Arabia has never officially recognised Israel.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">Israel's Prime Minister Benjamin Netanyahu said that the United States had approached Israel several months ago for this project, which according to him will "reshape the face of the Middle East".</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">"The State of Israel will be a central hub in this economic initiative," he said in a statement late on Saturday.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">"Israel will contribute all its capabilities, all its experience, and full commitment to making this collaboration project the largest in our history," he added.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">US involvement could also help mend deeply damaged ties between Riyadh and Washington, which frayed after the US-Iran nuclear deal and the 2018 murder of dissident journalist Jamal Khashoggi.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">According to details seen by AFP, the economic corridor would develop infrastructure to enable the production and transport of "green hydrogen".</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">It would also strengthen telecommunications and data transfers through a new undersea cable connecting the region.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">French President Emmanuel Macron said work was now needed to make the plan "real".</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">All the projects could also help oil-soaked Middle Eastern states wean their economies off dependence on fossil fuels.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">Michael Kugelman, South Asia Institute director at The Wilson Center, said the plan could be a significant response to China's much-vaunted Belt and Road Initiative.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">The so-called BRI has spread Chinese influence, investments and commerce across Europe, Africa, Asia and Latin America.</div><div style="text-align: justify;"><br></div><div style="text-align: justify;">"If finalised, it would be a game changer that strengthens connectivity between India and the Middle East and would aim to counter BRI," Kugelman posted on X, formerly known as Twitter. AFP</div><div style="text-align: justify;"><br></div><div style="text-align: justify; ">bnbd24/kh</div>