Burgeoning Resource Crunch in Asia

21^st century is projected as Asian century accredited to engine global economic growth and development. In 19^th century European powers largely dominated the globe and the scenario remained more or less unchanged till the end of both World Wars. Later America slowly emerged eclipsing the European dominance marking the beginning of the American century. It ascended to the stature of the global super power post cold war and reigned supreme following the collapse of the Soviet Union. Its hegemonic status began to fade away following its attack on Iraq and subsequent five year economic crisis. In the mean while the Asian countries slowly began to rise and make their mark on the global platform. Thus while the European countries have reached the stage of saturation with diminishing employment opportunities, slowing of economy the ascent of Asia has become even more promisingly evident. Slowly the planet is now witnessing resurgence of multiple powers a trend that existed before 19^th century.

With Asian countries ambitiously launching massive schemes to propel their economic trajectories there is an insatiable appetite for natural resources. This has triggered intense competition between the nations within the continent. Resource constraint is now a major burden on these growing economies, propelling them to import natural resources like mineral ores, fossil fuels like coal, oil and natural gas putting pressure on international resources and triggering price volatility. The resource appetite of the growing Asian giant for the past three decades has been fuelling the demand of oil in global markets. A sudden dip in the demand for oil supplies in global market is experienced recently as the Chinese economy began to trail.

Unlike North America, Europe and Australia which are richly endowed with natural resources Asia has the lowest per capita of resource availability. Putting great pressure on the economy and scuttling the growth trajectory as well. Starved of the crucial inputs like natural resources, these developing nations are increasing dependent on external sources which on long term can lead to geopolitical tensions and environmental degradation.

Asian competition over natural resources is sharpening and aggravating disputes in the resource rich region of South and East China Sea. The entire dispute surrounding the Japanese controlled Senakaku islands of 7 sq. Km on which China makes its claims is surrounded by rich hydrocarbon reserves. The reason for the territorial disputes over Kashmir, Golan Heights, the West Bank, Tibet, Central Asia’s Ferghana valley and more recently about Arunachal Pradesh are about resources than land. The Xinjiang province which is rich in hydrocarbons along with Tibet has been forcibly engulfed by China for the same reason.

Majority of the Asian cities continue to dominate the list of most polluted cities and are reeling under acute water shortage. All the major economies of Asia are on the brink of water stress. International standards describe water stress as a situation when the availability of water is less than 1700 cubic meters per year. China has to support 19% of global population with 6.7% of the global water resources. While the situation in India is even grim as it has mere 4.3% of World water available at its behest for 17.8% of World population on its territory. With the per capita availability of 2030 cubic metres in China it is still not water scarce by 2013 while India and South Korea are water scarce.

The problem of water scarcity is compounded in Asia because the rate of utilisation of fresh water exceeds its renewable stocks. Further unscientific practices like digging deeper wells, polluting & eroding rivers and transferring surface water across the basins Asia is using up its future resources for present use. This inadvertent use has resulted in depletion of already scarce water resources. In part, state policies like free electricity, subsidized diesel and irrigation subsidies have paved way for exhaustion of water resources. Consequently Asia has the lowest efficiency of water use and productivity. Already 50 % of the population experience water stress and by the end of this decade it is projected to cover two-thirds of world population.

Asian economies are encountering major food challenges too as bulk of the water resources are now to be shared among agriculture, expanding industries and cities. As a result the productivity of crops is lagging behind the demand and failing to keep in line with the rising levels of prosperity. New technologies should be employed to increase the productivity of the crops. A small step towards it can be a shift in focus of cultivation from high water intensive cropping to micro irrigation systems. Management of the limited supplies will shape not only the economic trajectories of these countries but also quells security issues. Asia is dire need of attaining energy dependence. India imports nearly 90% of its energy supplies. Until India becomes self-reliant in terms of energy, it can’t aspire to relieve economic poverty of its masses. Water and energy constraints in long term can hamper the growth and progress of the nation. Nations must usher into energy technology revolution and seriously induct strategies to clean up polluted or brackish water, chemically treat and recycle waste water and try to make ocean water potable.

The resource crunch has triggered inter-state rivalries over the direction of gas and oil pipelines. While China has been successful in obtaining hydrocarbons through pipelines from Russia, Kazakhstan and Myanmar other major Asian economies like India, South Korea and Japan lack access to such direct supply through pipelines. They are highly dependent on the oil imports through sea from the unstable Persian Gulf region.

Fight over resources has become more common in Asia. Especially construction of dams and hydro electric projects by one country to increase its water supply and storage capacities often severely affects the lower riparian states. Asian countries must seriously evolve policies to tame the issues of resource sharing else this might stoke tensions or conflicts. 53 of 57 transnational river basins in Asia have no water-sharing arrangement or other cooperative mechanisms. This has been the reason for strained political relations between countries in most Asian regions.

Even history is replete of stories where nations waged battles to have unbridled authority over the resource rich regions. During the World War II, Japan attempted a sneak peak attack on Pearl Harbor in desperation over the US oil, steel and scrap-metal embargoes. Even the recent attack on Iraq by the US is propelled by its greed for resources.

While strategic competition for resources is inevitable for the saga of development, Asian leaders should carve out norms and establish institutions that can moderate associated risks of resource management/sharing. Besides Asia, Africa is another continent where regional cooperation and integration is thread bare. Historical animosities, political and cultural diversities in part have hampered institution-building in these continents. To overcome the growing adversities of resource crunch inter-state relationships should be strengthened and nations should work harmoniously in coordination. 

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