Answer

India and Kuwait share historical and cultural ties, bolstered by robust trade and energy partnerships. Kuwait is India’s 6th largest crude oil supplier, meeting a significant share of its energy needs. Amid India’s “Look West” policy, this relationship gains strategic relevance, ensuring energy security, supporting the 1 million-strong Indian diaspora, and fostering cooperation in regional stability and economic diversification.

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Significance of India-Kuwait Ties in the Context of India’s Outreach to the Gulf Region

• Historical Trade and Cultural Links: India-Kuwait ties are rooted in historical trade and cultural exchanges, reflecting strong people-to-people connections.
  For example: Kuwait was an entrepôt (trade hub for goods redistribution) for Indian trade in West Asia, and the Indian rupee was legal tender there until its independence in 1961.
• Largest Expatriate Community: India has a significant diaspora in Kuwait, forming the largest expatriate group, which strengthens socio-economic links between the two nations.
• Strategic Gulf Region Focus: Strengthened ties with Kuwait help India consolidate its engagement with the Gulf Cooperation Council (GCC) for economic and strategic benefits.
  For example: Kuwait is part of India’s broader Gulf outreach, complementing partnerships with the UAE, Saudi Arabia, and Oman.
• Bilateral Trade Importance: Kuwait’s trade with India surpasses $10 billion, making it an important partner for India’s economic goals in the Gulf region.
  For example: Kuwait’s export of oil and LPG and imports of Indian goods highlight mutual trade benefits and interdependence.
• Regional Stability Efforts: Enhanced relations position India as a stabilizing partner amid geopolitical tensions in West Asia, promoting peace and regional cooperation.
  For example: India’s partnership with Kuwait helps counter threats from regional instability, including the Gaza crisis and Yemen conflict.

Alignment of India-Kuwait Ties with India’s Energy and Strategic Interests

• Energy Security: Kuwait is India’s sixth-largest crude oil supplier, fulfilling 3% of its energy needs and contributing to energy diversification.
• Strategic Defence Partnership: The institutionalized defence cooperation MoU supports maritime security and counter-terrorism efforts in the Indian Ocean Region.
  For example: The 2023 MoU on defence strengthens naval coordination and surveillance in shared waters.
• Infrastructure Connectivity: Kuwait’s involvement in India’s projects like I2U2 and IMEC enhances regional connectivity and trade routes.
  For example: Collaboration in the IMEC corridor aims to improve trade links between India, West Asia, and Europe.
• Diaspora Welfare: Stronger bilateral ties ensure the protection of Indian expatriates’ rights and promote safe working conditions in Kuwait.
  For example: Initiatives like the Indian Community Welfare Fund address grievances and ensure labor protection in Kuwait.
• Geopolitical Leverage: Improved relations provide India a foothold in Gulf geopolitics, leveraging its non-aligned stance to mediate and promote peace.
  For example: India’s balanced approach in West Asian conflicts supports both Arab and Israeli stakeholders, ensuring regional credibility.

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Strengthening India-Kuwait ties is pivotal for ensuring energy security, diversifying trade, and bolstering strategic cooperation in the Gulf. By leveraging shared historical bonds and expanding collaborations in renewable energy, infrastructure, and technology, India can foster a sustainable partnership. This relationship aligns with India’s Act West policy, promoting regional stability and advancing mutual economic and strategic goals.