India’s Northeast as a Gateway to Southeast Asia: Realising the Trade and Connectivity Potential of the Eastern Frontier

In February 2025, the Rising Northeast Investors Summit held in Guwahati reaffirmed India’s vision to position the region as a commercial and logistical gateway to Southeast Asia. No longer viewed as India’s geopolitical periphery, the Northeast is becoming central to India's Act East Policy and Indo-Pacific outreach. Investments in infrastructure, digital connectivity, and regional diplomacy are reshaping the region’s role-from frontier to fulcrum.
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Table of Contents:
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Introduction
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Strategic Significance of India’s Northeast
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Government Initiatives Transforming the Region
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Connectivity Projects Driving Trade Integration
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Challenges Hindering Northeast’s Commercial Ascent
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Way Forward: Towards a Seamless Growth Corridor
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Conclusion
1. Introduction:
Once overlooked, India’s Northeast is now being reimagined as the country’s eastern economic corridor-an interface between the subcontinent and Southeast Asia. Surrounded by international borders and blessed with natural and cultural wealth, the region’s transformation is crucial for India’s aspirations in the Indo-Pacific. The Act East Policy envisions this region not just as a landmass to be developed but as a launchpad for international trade, cross-border collaboration, and cultural soft power.
2. Strategic Significance of India’s Northeast:
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Geopolitical Advantage:
Sharing 5,300+ km of international borders with Bhutan, Bangladesh, China, and Myanmar, the Northeast serves as India’s only land-linked gateway to ASEAN. -
Act East Policy Anchor:
Since 2014, the policy has moved beyond “Look East” to “Act East,” positioning the Northeast as a connectivity and commerce hub within the broader Indo-Pacific framework. -
Resource and Culture-Rich Region:
PM Modi's “Ashta Lakshmis” vision acknowledges the Northeast as a powerhouse of biodiversity, cultural heritage, and green energy.
3. Government Initiatives Transforming the Region:
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NESIDS (North East Special Infrastructure Development Scheme):
Supports non-urban sectors like healthcare, water, education, and road connectivity in underserved areas. -
PM-DevINE:
Fast-tracks impactful projects like the Aizawl bypass, bamboo technology parks, and flood control systems in Tripura. -
Vision 2035 (NITI Aayog):
Emphasises sustainability, digital access, climate resilience, and inclusive local growth. -
Startup & Digital Northeast Missions:
Fuel rural innovation, digital employment, and BPO units in states like Mizoram, Nagaland, and Meghalaya. -
Border Area Development Programme (BADP):
Strengthens border villages through healthcare, roads, skill-building, and connectivity.
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4. Connectivity Projects Driving Trade Integration:
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India–Myanmar–Thailand Trilateral Highway:
1,360 km corridor linking Moreh (Manipur) to Mae Sot (Thailand) via Myanmar. India has completed work on 69 bridges and 73 km in Myanmar. -
Kaladan Multimodal Transit Transport Project (KMTTP):
Integrates sea (Kolkata to Sittwe), river (Kaladan River), and road (Paletwa to Mizoram)-creating an alternative to the Siliguri corridor. -
Border Haats and Land Ports with Bangladesh:
9+ haats and modern ICPs like Dawki, Sutarkandi, Agartala are boosting cross-border trade. Sabroom port will connect India to Chittagong Port. -
Trans-Asian Railway & East-West Economic Corridor:
Connects Northeast India via Myanmar to Vietnam, Laos, and other ASEAN economies under UNESCAP’s vision. -
Bharatmala + Sagarmala Synergy:
Highways like Silchar-Guwahati and Dhubri-Phulbari expressways connect inland Northeast to coastal trade corridors.
5. Challenges Hindering Northeast’s Commercial Ascent:
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Difficult Terrain:
Hilly, seismically sensitive, and flood-prone-engineering and maintenance costs are high. -
Security and Ethnic Tensions:
Though insurgency has declined, localised violence and tensions (especially in Manipur and Nagaland) persist. -
Institutional Silos:
Lack of coordination between MEA, DoNER, MoRTH, State Govts, and security agencies delays projects. -
Limited Industrial Base:
Most states export raw materials, lacking processing capacity or manufacturing strength. -
Regional Diplomacy Gaps:
Perceptions like “landlocked” from Bangladesh underscore the need for confidence-building measures.
6. Way Forward: Towards a Seamless Growth Corridor:
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Complete Priority Corridors:
Fast-track unfinished stretches of Trilateral Highway and Kaladan using bilateral and multilateral platforms. -
Border SEZs and Export Hubs:
Set up value-addition clusters for bamboo, organic food, tea, handlooms near Moreh, Champhai, and Dawki. -
Skill Northeast for ASEAN Jobs:
Train youth in language skills, logistics, e-commerce, and border trade compliance. -
Establish Northeast Trade & Connectivity Council:
Integrate policies across ministries and states under one empowered coordination body. -
Boost Public Diplomacy:
Promote Northeast’s textiles, cuisine, tourism and cultural exchanges with ASEAN to deepen ties.
7. Conclusion:
Northeast India is no longer India’s strategic periphery-it’s the bridge to the future. With infrastructure, investment, and innovation converging, this region stands at the threshold of a historic economic transformation.
“The Northeast is not the frontier, but the frontrunner of India’s growth.”
India must now walk the talk-with vision, speed, and sensitivity.