Saudi Arabia and India agreed to boost cooperation in supplies of crude and liquefied petroleum gas, according to a joint statement reported by the Saudi state news agency on Wednesday following a visit by Prime Minister Narendra Modi.
Saudi Arabia is one of the top exporters of petroleum to India. Modi met Crown Prince Mohammed bin Salman before cutting short his visit and returning to New Delhi after an attack on India-held Kashmir territory, which killed 26 people, the worst attack in India since the 2008 Mumbai shootings.
The two countries also agreed to deepen their defence ties and improve their cooperation in defence manufacturing, along with agreements in agriculture and food security.
“The two countries welcomed the excellent cooperation between the two sides in counter-terrorism and terror financing,” the joint statement said.
The visit, hosted by Saudi Crown Prince and Prime Minister Mohammed bin Salman, marked Modi’s third trip to the Kingdom and followed up on the Saudi leader’s 2023 visit to New Delhi for the G20 Summit. The two leaders co-chaired the second meeting of the India-Saudi Arabia Strategic Partnership Council (SPC), where they reviewed ongoing collaborations and set ambitious goals for the future.
Key outcomes of visit
1. Expanded Strategic Council:
The SPC was broadened to include new ministerial committees on Defense Cooperation and Tourism & Cultural Cooperation, reflecting the growing depth of the bilateral relationship.
2. Investment and Trade Boost:
Both nations expressed satisfaction over growing economic ties, with Saudi Arabia being India’s fifth-largest trading partner in 2023-24. They committed to finalizing a Bilateral Investment Treaty and facilitating investments in key sectors like petrochemicals, fintech, infrastructure, health, and digital technologies.
A High-Level Task Force set up in 2024 has already reached understandings in several investment areas, including the potential establishment of two refineries in India.
3. Energy Cooperation:
The two sides agreed to work closely on global energy security, including stable crude oil and LPG supplies. Cooperation will also extend to joint projects in petrochemicals, renewable energy, grid security, and a detailed study on electricity interconnection between the two countries.
4. Defense and Security:
Defense cooperation was recognized as a “key pillar” of the partnership. Both sides celebrated joint military exercises and agreed to enhance collaboration in defense manufacturing and intelligence-sharing. The visit also highlighted cooperation on cybersecurity, maritime security, and anti-narcotics operations.
5. Strong Stand Against Terrorism:
Both leaders condemned the terror attack in Pahalgam, IHK, which claimed 26 lives on the same day as Modi’s visit. In a strongly worded joint statement, they rejected any justification of terrorism and emphasized dismantling terror networks, particularly cross-border threats.
6. Climate and Clean Energy Initiatives:
India and Saudi Arabia committed to expanding cooperation in green hydrogen, circular carbon economy, and renewable energy technologies. India lauded the Saudi Green Initiatives while Riyadh praised India’s leadership in climate platforms like the International Solar Alliance.
7. People-to-People and Cultural Ties:
Appreciation was expressed for the welfare of the 2.7 million Indians residing in Saudi Arabia and the smooth coordination during the Hajj pilgrimage. The launch of cultural and tourism collaboration through a dedicated ministerial committee aims to enhance people-to-people ties further.
8. Space, Technology, and Education:
New MoUs were signed for cooperation in space exploration, healthcare, anti-doping, and postal services. Both sides emphasized collaborations in AI, semiconductors, and digital governance. Saudi Arabia also welcomed Indian universities setting up campuses in the Kingdom.
9. Food Security and Agriculture:
The two countries agreed to pursue long-term agreements for fertilizer trade and food security, focusing on mutual investments and joint projects.
Signed MoUs include:
- Space cooperation between India’s Department of Space and the Saudi Space Agency
- Health collaboration between India’s Ministry of Health and Saudi counterpart
- A postal agreement on foreign parcel movement
- Anti-doping cooperation between NADA India and SAADC
