Context: This article is based on an Editorial “PM Modi, Saudi Crown Prince MBS chair SPC meeting: What is the Strategic Partnership Council” from the Indian Express. It explores the recent meeting between India and Saudi Arabia, both nations co-chaired the first meeting of the India – Saudi Arabia Strategic Partnership Council (SPC) in New Delhi.

A Comprehensive Overview of Key Collaborations between India and Saudi Arabia

India and Saudi Arabia relationship is known for cooperation in various sectors such as energy, trade, and culture. Both nations Conducted important meetings and made significant financial commitments, which has made their partnership even stronger. Both nations have come forward to collaborate effectively during the COVID-19 pandemic. 

• Energy Security: A central pillar of the Indo – Saudi Arabia bilateral ties.
  • Crucial Energy Partnership: Saudi Arabia remained India’s third-largest Crude and Petroleum products supplier for Financial Year 2022-23. India and Saudi Arabia have a joint cooperation in the fields of electricity and grid interconnection, in addition to cooperating in the field of hydrogen and its derivatives.
    • Energy Collaboration: India and Saudi Arabia have Signed an Agreement on Cooperation in the Energy Sector that covers renewable energy, energy efficiency, hydrogen electricity and investments in petroleum reserves.

• Economic Cooperation, Trade and Investment: India is the second largest trade partner of Saudi Arabia, while Saudi Arabia is the fourth largest trade partner of India. Bilateral trade has increased to more than US$ 52 billion in 2022-23, marking a growth of more than 23%.
• Enhancing Science and Technology Collaboration: Saudi Arabia and India agreed to strengthen partnership in the areas related to communications and information technology, digital economy, innovation and space, remote sensing, satellite communication and satellite-based navigation.
• Defence Cooperation, Counter Terrorism and Security: A comprehensive security dialogue mechanism between the two countries focuses on security cooperation and collaboration in defence industries.
• Commitment to Global Climate Goals:  Saudi Arabia and India reaffirmed the importance of adhering to the principles of the UN Framework Convention on Climate Change and the Paris Agreement.

Challenges and Considerations in India-Saudi Arabia Relations

Challenges like energy dependence and geopolitical dynamics persist between India and Saudi Arabia. India faces the challenge of balancing its relationships with Saudi Arabia and Iran, as well as managing its ties with the United States in the complex Middle East politics.

• Energy Security and Oil Prices: India is highly dependent on imports of crude oil and natural gas for its energy security and high oil prices can have a significant impact on India’s economy on  Saudi Arabia. 
• Geopolitical Alliances: The influence of external power in the region such as the United states, Russia and China can affect the dynamics of india-Saudi Arabia relations. 
• Instability and Regional conflicts in Middle East: Saudi Arabia is the third pole in regional politics with Iran and Israel and balancing diplomatic relations with other two poles can be challenging.
• Trade imbalance: There is a trade imbalance of $31.3 billions as per the Centre for Monitoring Indian Economy, a private organization, CMIE-2023 between Saudi Arabia and India
• Human Rights and Cultural Differences: Saudi Arabia and India have different cultural and political systems, differences can lead to concern and challenges.
• Indian Diaspora and migrant workers: Approximately 8 million of the Indian diaspora work in the Middle-East. Ensuring their rights , welfare and security is an ongoing concern.
• Counter Terrorism And Security:  Saudi Arabia and India face threat from terrorism and extremism, ever-evolving nature of these threats pose ongoing challenges.

Way Forward to Strengthen ties between India and Saudi Arabia 

To navigate these challenges, India and Saudi Arabia should prioritize diplomacy, foster economic partnerships, and promote regional stability. Maintaining open channels of communication and engaging in dialogue with all parties involved will be essential for successfully balancing its Middle East relationships. Various step that can be taken are: 

• Diversification in Economic Ties: Need to explore opportunities in digital technology, renewable energy and healthcare. 
  • Multilateral Cooperation between Saudi Arabia and India: Coordinate efforts in international Forums and organizations to address global challenges, including climate change, health crisis and globalization.
  • Strategic Alignment with Saudi Arabia: Explore new areas  of strategic alignment in regional and global matters, such as United Nations initiatives.
• Trade and Investment Promotion: Saudi Arabia Vision 2030 plan Offers Opportunities for Indian Business to invest will contribute to economic growth, innovation and job creation.
• Energy Transition: They Need to transform  buyer-seller relationship into a much broader strategic partnership based on mutual complementarity and interdependence and need to adapt to the changing global energy landscape. 
  • Engage in Constructive Diplomacy: To contribute to conflict resolution and stability in the region, with a balanced approach of respecting the principles of sovereignty and non-interference.
• Cultural and Educational Exchanges with Saudi Arabia: It will promote a deeper understanding of each other’s culture and societies.
  • Welfare and Rights: Saudi Arabia should ensure the welfare and rights of the Indian diaspora and workers.

Conclusion 

• India and Saudi Arabia alliance is known for strong relationship in the field of energy, trade, defense and climate goals. India and Saudi Arabia can diversify their economy, geopolitical goals and energy security by strengthening ties. Common Commitment is the essential key to find a middle ground between both nations to navigate obstacles. 

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