The Institute of Southeast Asian Studies (ISEAS) is an autonomous research centre for scholars and other specialists concerned with modern Southeast Asia, including ASEAN. Reflecting this interest, there are several region-wide programmes in economics, politics, and social change based at the Institute. Of particular importance is the work of the ASEAN Economic Research Unit (AERU).

Established in 1979 in response to the need to deepen understanding of economic change and political developments in ASEAN, AERU is guided by an Advisory Committee consisting of senior economists from the ASEAN countries. It has progressed steadily and now has more than twenty-five projects under way or at various stages of completion, with several more in the pipeline. Together, these projects encompass all the priority areas for research recommended by the group of experts invited to the inauguration of the Unit: namely, Investment, Industry and Trade; Finance and Monetary Aspects; Food, Energy and Commodities; Transportation/Shipping; and Political Factors in ASEAN Economic Co-operation.

The largest number of AERU projects come under the broad heading of “Investment, Industry and Trade”. Within this group, those relating to ASEAN's economic relations with its main trading partners are the most prominent, and the project on ASEAN-South Asia Economic Relations falls into this category. It consists of a review of economic relations between the individual ASEAN countries and South Asia on the one hand, and those between the countries of South Asia and ASEAN on the other.

The project was a joint undertaking between the Indian Council for Research on International Economic Relations, the Marga Institute, Colombo, and the Institute of Southeast Asian Studies, and the co-ordinators of the project were Dr Charan Wadhva, Professor of Economics and Marketing, Indian Institute of Management, and Dr Mukul Asher of the Department of Economics, National University of Singapore.

This is perhaps the first study of its kind on South Asia and ASEAN. It is therefore hoped that this pioneering effort will stimulate further research on the complexities and possibilities of the relationship between South Asia and ASEAN.