The amicable and cordial relations between India and Saudi Arabia are a reflection of their long-standing economic and sociocultural links. By talking about several areas of cooperation, the recent Strategic Partnership Council has strengthened the bilateral relationship.
Recent development in relations
- From a purely buyer-seller relationship, Saudi Arabia and India are heading towards a more strategic alliance that will involve Saudi investments in downstream oil and gas projects.
- Saudi Arabia pledged to share more intelligence with India to strengthen their counterterrorism collaboration during Prince Salman’s visit to New Delhi.
- The abrogation of Article 370 in Jammu and Kashmir was welcomed by Saudi Arabia.
- Saudi Arabia has said that it recognises the sensitivity and worries of the Indian people on the Kashmir issue.
- In order to “assist India to achieve its hopes and goals,” the leaderships of the two nations have formed the India-Saudi Strategic Partnership Council.
India-Saudi Strategic Partnership Council
When the Prime Minister of India visited the Kingdom of Saudi Arabia in October 2019, the Strategic Partnership Council was established. It is supported by two key pillars-
- Political, Security, Social and Cultural Committee
- Committee on Economy and Investments
What are the Outcomes of the meeting?
- Streamlining the process for realising Saudi Arabia’s $100 billion in investments in India.
- Support for the 41 areas of collaboration determined by the technical teams within the four primary categories of agriculture & food security, energy, technology & information technology, and industry & infrastructure.
- Agreement to take on the time-bound implementation of the key projects.
Timeline of India-Saudi Arabia Relations
- Trade and cultural relations between ancient India and Arabia first emerged in the third millennium BC.
- The Arabian economy was based on the prosperous trade relations between Arabia and southern India by the year 1000 AD.
- Arab traders held a stranglehold on the spice trade between India and Europe prior to the rise of European imperialist powers.
- India was one of the first nations to establish links with the Third Saudi State.
- Following the establishment of diplomatic ties in 1947, both countries’ high-level representatives visited one another. In 1955, King Saud paid a visit to India, and in 1956, Prime Minister Jawaharlal Nehru went to the Kingdom.
- The visit of Prime Minister Indira Gandhi to Saudi Arabia in 1982 further consolidated bilateral relations.
- In 2006, the ‘Delhi Declaration’ was signed during the visit of King Abdullah to India, imparting fresh momentum to the bilateral relationship.
- The reciprocal visit by Prime Minister Dr Manmohan Singh to Saudi Arabia in 2010 and the ‘Riyadh Declaration’ signed during the visit raised the level of bilateral engagement to a ‘Strategic Partnership’.
- The year 2021-22 commemorates 75 years of India’s independence as ‘Azadi ka Amrit Mahotsav’. This celebration also coincides with 75 years of the establishment of diplomatic relations between India and Saudi Arabia.
Trade and Commerce Relations
Saudi Arabia is India’s fourth largest trade partner (after China, the USA, and Japan) and a major source of energy as India imports around 18% of its crude oil requirement from the Kingdom.
Saudi Arabia is currently India’s second-largest exporter of crude oil (Iraq has been India’s top supplier). It is also a major source of LPG for India.
What India exports from Saudi Arabia?
Cereals, Spices, Machinery, Iron or steel products, Organic chemicals, Meat, Vehicles, Ceramic products, electronic equipment, and Clothing.
What India imports from Saudi Arabia?
Oil, organic chemicals, plastics, fertilizers, gems, precious metals, aircraft, spacecraft, inorganic chemicals, aluminum, copper, other chemical goods.
Cultural relations between India-Saudi Arabia
The introduction of formal Yoga standards and programmes in the Kingdom was made possible by the signing of an MoU on Yoga Cooperation in 2021 between the Saudi Ministry of Sports and India’s Ministry of AYUSH. This was the first Gulf country to implement such standards.
The largest foreign-born population in the Kingdom is the approximately 2.2 million-strong Indian community. In 2019, it was announced that India’s Hajj quota would be increased by 24,975 in 2019, enabling 2,00,000 Indians to perform Hajj in August 2019.
Technological relations between India-Saudi Arabia
India has digitized the Hajj process by providing the Hajj mobile app, health facility – e-MASIHA, e-luggage pre-tagging, and linking the HGOs (Hajj Group Organizers) with the digital system, which has simplified the procedures for pilgrims.
