India-Vietnam MoU on Logistics Support

• 09 Jun 2022

During the recent visit of Indian Defence Minister to Vietnam, the two countries signed the 'Joint Vision Statement on India-Vietnam Defence Partnership towards 2030', which will significantly enhance the scope and scale of existing defence cooperation.

Also, a Memorandum of Understanding on Mutual Logistics Support was also inked.

Significance

• The Memorandum of Understanding (MoU) on mutual logistics support is the first such major agreement that Vietnam has signed with any country.
• This is significant as it allows Indian warships and military planes to re-fuel and seek supplies at the Vietnamese bases.
• Vietnam is one of the six countries locked in a dispute with China over territorial demarcation of the South China Sea.
• With this agreement, India could get closure access to Chinese events in that area.

Other Developments

• India and Vietnam agreed for early finalisation of $500 million defence line of credit extended to Vietnam.
• India announced gifting of two simulators and monetary grant towards setting up of language and IT Lab at Air Force Officers Training School for capacity building of Vietnamese armed forces.

What are Logistic Agreements?

• Logistics agreements are administrative arrangements facilitating access to military facilities for exchange of fuel and provisions on mutual agreement simplifying logistical support and increasing operational turnaround of the military when operating away from India.