ABSTRACT

There is little widely accessible literature which specifically links issues of industrial development and industrial policy to the moves towards greater regional integration in any of the regions which overlap geographically with the Indian Ocean, namely Southeast Asia, South Asia, the Middle East, or East and southern Africa. Moreover, there is also scant literature explicitly dealing with the impact of regional integration in general on industrial development. This deficit, together with the developing interest in the Indian Ocean Rim (IOR) implies a need for further research. After briefly examining available data on industrial development in the IOR region, this chapter reviews firstly the theoretical underpinnings, and subsequently the empirical evidence for both threats and opportunities. It then outlines neglected areas of relevance to industrial development and the IOR and proposes an agenda for further research.