More than any other bilateral relationship, India's growing ties with neighbouring Myanmar reflect the element of realpolitik that has entered our foreign policy calculations. After cold-shouldering the ruling military junta in Yangon to espouse the cause of the pro-democracy movement led by Aung San Suu Kyi, India is today doing business with the generals. This week's visit by Myanmar's head of state General Than Shwe (R) to New Delhi, the first in 24 years, is the culmination of nearly a decade of painstaking efforts to normalise ties with the military government.

Myanmar's importance to India is two-fold. One, the jungles along its 1,670-km border with five north-eastern states have become a safe haven for insurgent groups operating in Assam, Manipur and Nagaland. Myanmar has conducted two operations so far to flush out insurgent camps on its territory. The MoU on non-traditional security issues signed with Than and his assurance to Indian prime minister Manmohan Singh (L) to quash anti-India activists operating from Myanmar underline the enhanced security cooperation between the two neighbours.

Equally important is Myanmar's strategic value to India. It is the gateway to Asean (Association of South-east Asian Nations) and a key element in building India's profile as a regional power. Systematic efforts since the mid-nineties to prise Myanmar away from China's influence have paid dividends. Today, India is the only country, apart from China, to have a consulate in strategically located Mandalay.

India's strategy has been to inject economic stakes into the ties via high-value projects. One is a 1000-MW hydro-electric power project on the Tamanthi River, for which a pact was signed during Than's visit. Once commissioned, it will provide power to Myanmar's underdeveloped western region bordering India. India has also invested heavily in a trilateral highway that will connect the North-east, Myanmar and Thailand and help Yangon to upgrade its ports. The project is expected to uplift the economy of the region and help India tackle insurgency problems in the North-east. The roads will also boost India's ties with the other Asean members, a big step to balance out China's influence in our eastern neighbourhood.