China?s evolving military profile has come under scrutiny from New Delhi, according to the latest annual report from the ministry of defence for 2010-11.

The report states that ?India is conscious and watchful of the implication of China?s evolving military profile in the immediate and extended neighbourhood. India?s policy is to engage with China on the principles of mutual trust and respect and sensitivity for each other?s concerns.?

While India regards Pakistan as its primary adversary, particularly over the unresolved issue of Jammu and Kashmir, which, despite a Muslim majority, remains dominated by India, China?s increasing military prowess has focused the attention of the Indian military establishment as a potential threat.

Taking note of the recent political developments in West Asia and North Africa, it states ?The impact of these developments on the security situation in the region and on the security of energy supplies is of global concern.?

Underscoring India?s vibrant ties with all countries in the region, according to the report that New Delhi will continue to engage with them on the basis of mutuality of respect and interests.

?India has also been actively involved in peacekeeping operations in Africa under the UN mandate and seeks to consolidate its relations with many countries in the region with which we have historical linkages?.

The defence ministry has proposed a proactive role under the United Nations flag to tackle the threat to maritime traffic from piracy.

?India is in favour of strengthening multilateral cooperation under a UN framework to meet the complex challenges of maritime security,? says the Annual Report which was laid in Parliament on Monday.

The report says the increased incidence of piracy in the Indian Ocean Region (IOR) ?is an issue of serious concern.?