Subject: Bilateral Relations

India and Israel relations, though formally established only in 1992, have evolved from a transactional defense relationship into a multidimensional strategic partnership.

Depth and Diversity in India-Israel relations

Geopolitical Convergence

2017 Modi visit to Israel (first ever by an Indian PM) and reciprocal visits institutionalized the partnership through Joint Working Groups and 2+2 dialogues.

Strategic autonomy- India has successfully balanced ties with Israel, Palestine, and Gulf states

Indo-Abrahamic Bloc- India’s participation in I2U2 (India, Israel, UAE, US), reflect shared Indo-Pacific interests.

Defense and Security Cooperation

Defense Procurement- Israel is one of India’s top three defense suppliers. Eg- Heron and Searcher UAVs, Barak missiles, and Spyder air defense systems.

Counterterrorism Cooperation- Intelligence-sharing and joint training have strengthened India’s counterterrorism capabilities post-26/11.

Maritime Security- Joint initiatives in the Indian Ocean and Red Sea strengthen India’s position in West Asian maritime architecture.

Technology, Agriculture, and Water Cooperation

The India-Israel Agricultural Project (IIAP) has established over 30 Centers of Excellence across Indian states.

Water Management- Collaboration in drip irrigation, desalination, and wastewater recycling.

The India-Israel Industrial R&D and Technological Innovation Fund (I4F) supports joint projects in AI, quantum computing, water tech, etc.

Economic and Trade Relations

Bilateral Trade- Increased from $200 million in 1992 to over $10.7 billion in 2023, with focus shifting from diamonds to pharmaceuticals, defense electronics, and agri-tech.

Negotiations for a Comprehensive Economic Partnership Agreement (CEPA) to deepen commercial linkages.

India and Israel have signed a fresh bilateral investment treaty.( first OECD country to adopt India’s new investment treaty model.)

People-to-People and Cultural Ties – Shared democratic values, historical goodwill, and academic and cultural exchanges

Major Areas-of Friction

India maintains a principled support for Palestine and the two-state solution. Eg- India abstained from a UNGA resolution on Gaza ceasefire in October 2023.

India walk a tightrope between its strategic embrace of Israel and economic entrenchment in the Gulf. – Harsh V. Pant (ORF)

Non-defense trade remains modest and over-reliant on diamonds and agriculture.

The India-Israel Free Trade Agreement, under negotiation since 2010 (14 rounds held), remains inconclusive.

Domestic Political Issues – left-leaning and minority groups, criticize deepening ties with Israel.

Way Forward

Partnership based on Enlightened Self interest

Joint Collaboration for development projects in Africa and South Asia under platforms like I2U2.

As Israeli PM Benjamin Netanyahu stated, “The sky is the limit for India-Israel cooperation” – symbolizing deep mutual trust and strategic alignment.

Former US president Barack Obama called India-US relationship as the most defining partnership of the 21st century. However, in recent years there has been friction in ties due to geopolitical and geoeconomic divergence.

Roots of Friction- Divergent Strategic Worldviews

India’s Pursuit of Strategic Autonomy vs US Alliance Model – India’s “strategic hedging” with neutral stance on the Russia-Ukraine war (2022-24) frustrated the US. Eg- 50% Tariff

USA’s relationship with Pakistan (recent mineral deal) weakens India’s efforts against Terrorism.

Fear of USA’s policy of Bait and Bloodletting in India-China relations

Gap between expectation and recognition – Eg- While the US promotes India as a “pillar of the Indo-Pacific strategy,” it doesn’t offer India the same status as treaty allies like Japan or Australia

Divergence in Regional Priorities – India’s immediate concerns include China, Pakistan, and the Indian Ocean Region (IOR), whereas US priorities Pacific Ocean in QUAD.

Geoeconomic Issues – US tightening H-1B visa policies or reinstate Generalized System of Preferences (GSP).

U.S. withdrawal from Afghanistan (2021) and its aftermath posed regional security concerns for India

Multilateralism issues – Eg- Disputes on data localization, intellectual property, and agricultural access under WTO

US sanctions under CAATSA threatened S-400 missile system deal and Chabahar port in Iran

Human Rights – US criticism of India’s domestic policies (e.g., on religious freedom, digital regulation, or Kashmir) is viewed by India as interference in internal affairs.

India’s National Self-Esteem and Strategic Ambitions

Strategic Autonomy and issue based partnerships based on enlightened self interest

Recognition as an independent global power – Rightful Place in comity of nations.

Permanent membership in the UN Security Council.

Technology access and defense co-production as an equal partner.

Leadership in Global South diplomacy.

Efforts to Bridge the Gap

India-US civil nuclear deal of 2008

Initiatives on Critical and Emerging Technologies (iCET) aim for joint R&D in AI, 5G, and quantum tech.

GE-HAL jet engine co-production, semiconductor MoUs, and defense logistics agreements (LEMOA, COMCASA, BECA).

Framework agreement to expand defence cooperation over the next 10-years.

Way Forward

Balance Strategic Autonomy with Global Cooperation on shared interests – counterterrorism, climate change, and technology governance.

Engage more actively in the Indo-Pacific Economic Framework (IPEF), promote supply chain resilience, and sustainable infrastructure partnerships.

Prioritize co-production and joint R&D in advanced defense technologies such as cybersecurity, autonomous systems, and surveillance.

A stronger India-US partnership anchored in mutual respect, collaboration, and global leadership can advance regional stability and multipolar global governance

Shinzo Abe in his book “Towards a beautiful nation” termed India as Japan’s natural ally as they have no conflict of strategic interest and share common goals to build a free and open Indo-Pacific.

Reasons for strong India-Japan Relations

Geopolitical – Cold war 2.0, G-2

Geoeconomic – Weaponisation of supply chains by China, Trump’s Tariff Wars

Defence and Security – China’s boiling frog strategy in Indo Pacific

Connectivity – China’s debt trap diplomacy through BRI. Eg- Sri Lanka crisis

Multilateralism – UNSC reforms (both are members of G-4)

Building a Strong India-Japan Partnership for Stability in Asia

Strengthen Strategic and Security Cooperation

Institutionalize Indo-Pacific Defence Cooperation- Expand 2+2 ministerial dialogues, enhance joint military exercises (Malabar, JIMEX) and intelligence sharing.

Maritime Security- Establish a Maritime Domain Awareness (MDA) network in the Indian Ocean to ensure secure Sea Lanes of Communication (SLOCs).

Regional Architecture- Coordinate policies within Quad, ASEAN, and East Asia Summit to promote regional security and crisis management.

Deepen Economic and Connectivity Linkages

Sustainable Infrastructure under the Asia-Africa Growth Corridor (AAGC) as a transparent alternative to China’s BRI.

Develop joint critical mineral and semiconductor supply chains under the Japan-India Industrial Competitiveness Partnership (IJICP).

Energy and Technological Cooperation – Partner in hydrogen energy, solar manufacturing, and battery storage technologies to drive Asia’s clean transition.

Soft Power and People-to-People Ties – Encourage joint humanitarian and disaster relief operations (HADR) to reinforce India-Japan goodwill across Asia.

Building a Strong India-Japan Partnership for Stability in the World

Promote a Rules-Based Global Order

UN Reforms- Work jointly for UN Security Council reform

Global Governance- Align efforts in WTO, IMF, and World Bank to make global institutions more representative and equitable.

Global Economic Leadership

Promote rule based economic order to counter weaponisation by trade by US and China

Technology and Trade Norms- Co-develop standards in AI ethics, data protection, and digital economy governance.

Climate Action- Jointly lead green finance mechanisms and global partnerships on carbon neutrality, leveraging Japan’s technology and India’s markets.

Collaboration in Global Commons

Maritime Freedom- Cooperate to safeguard open seas in the Western Pacific and Africa’s eastern coast.

Space and Cyber Cooperation- Develop joint frameworks for space situational awareness and cybersecurity, ensuring safe use of global commons.

As Prof. C. Raja Mohan notes, India and Japan can be “anchor democracies in the Indo-Pacific”, balancing China’s rise

India’s defence partnerships have evolved in response to shifting geopolitical realities and regional security imperatives.

Evolution of Defence Partnerships

Indo-Russian Defence Ties- Based on Cold War-era cooperation, covering nuclear submarines, aircraft (Su-30MKI), and missile systems (S-400, BrahMos).

Indo-US Defence Ties- Strengthened post-2005 with the India-US Civil Nuclear Agreement, followed by defence foundational agreements – LEMOA (2016), COMCASA (2018), BECA (2020), and iCET (2023) – facilitating interoperability, logistics, and technology sharing.

Significance of Indo-US Defence Deals over Indo-Russian Defence Deals in the Indo-Pacific Context

Alignment with the Indo-Pacific Vision –

shared commitment to a Free, Open, and Rules-Based Indo-Pacific (FOIP).

Regional Presence- The US is a Pacific power with a direct military presence, unlike Russia, whose focus remains continental (Eurasian).

The LEMOA (2016) enables reciprocal access to military bases – giving India strategic reach from Diego Garcia to Guam, enhancing maritime stability.

Strengthening Maritime Security and Deterrence

Operational Interoperability- Foundational agreements such as COMCASA (2018) and BECA (2020) enhance real-time intelligence and data sharing, critical for tracking Chinese naval movements.

Joint Naval Exercises- India’s participation in the Quad-led Malabar exercises with the US, Japan, and Australia ensures freedom of navigation in the Indo-Pacific sea lanes.

Indo-Russian defence engagements, like the BrahMos missile project and S-400 systems are less relevant to Indo-Pacific maritime operations.

Access to Advanced Defence Technologies

P-8I maritime patrol aircraft, Predator drones, and C-17 Globemasters that enhance India’s maritime strike capability.

The iCET (Initiative on Critical and Emerging Technologies) deepens cooperation in AI, space, cybersecurity, and jet engine co-development, advancing India’s defence self-reliance.

In contrast, Russian defence systems are based on legacy technologies, offering limited cooperation in next-generation warfare domains like cyber, space, and AI.

Strategic Balance and Regional Stability

The Indo-US defence partnership enhances collective deterrence in the Indo-Pacific, particularly in the South China Sea and the Indian Ocean Region (IOR).

Through coordination under the Quad, India and the US promote capacity building, HADR (Humanitarian Assistance and Disaster Relief), and infrastructure resilience.

Deepening defence ties with the US diversifies India’s procurement base, reducing overdependence on Russian arms.

Challenges in Strengthening Indo-US Defence Cooperation

Strategic Autonomy Concerns as the US expects greater policy alignment (e.g., on Ukraine, Iran sanctions).

Dependence on Russian Systems – Over 60% of India’s defence inventory still originates from Russia (Su-30s, MiGs, T-90s, submarines). Shifts to US-origin platforms face interoperability and logistics challenges.

Technology Transfer and Cost Issues – US defence exports involve limited technology transfer and high costs compared to Russia’s Make-in-India-friendly models (e.g., BrahMos).

The CAATSA sanctions threat over India’s S-400 purchase exemplifies friction points that could impact future defence cooperation.

Bureaucratic Constraints – Differences in procurement procedures, licensing regimes, and IPR frameworks often delay joint projects and technology-sharing initiatives.

Way Forward

Establish a “Defence Innovation Corridor” linking Indian and US industries to promote Make in India-Make for the World defence production.

Enhance Maritime Domain Awareness (MDA) and Naval Interoperability with Quad partners through Malabar, Tiger Triumph Exercises.

Strengthen the Defence Industrial Base – Facilitate US defence manufacturers to establish production and maintenance hubs in India for regional supply chain security.

Maintain Strategic Autonomy with issue-based convergence rather than alignment

Use strategic dialogue platforms (2+2 Ministerial, DTTI, Quad) to address divergences

The Indo-US defence partnership is vital for ensuring a free, open, and stable Indo-Pacific. It must be driven by trust, technology, and transparency.

The Maldives, located southwest of India in the central Indian Ocean, sits astride critical Sea Lines of Communication (SLOCs) that carry a major share of global oil and trade flows.

Geopolitical and Geostrategic Importance of Maldives for India

Strategic Location on Global Trade Routes through which over 80% of India’s crude oil and global container traffic transit.

Energy Security Corridor- positions near the Eight Degree Channel are vital for the free flow of energy from the Persian Gulf to Indian and East Asian markets.

As part of India’s SAGAR vision, Maldives strengthens India’s maritime domain awareness (MDA) through coastal radar systems integrated with India’s Information Fusion Centre – Indian Ocean Region (IFC-IOR).

Economic and Blue Economy Cooperation for trade connectivity and sustainable ocean management.

Impact on India’s Maritime Security Amidst International Competition

India’s partnership with Maldives enables real-time monitoring of sea lanes, joint patrols, and defense training, enhancing maritime security in the Arabian Sea-Central IOR belt.

The Belt and Road Initiative (BRI) and Chinese-funded infrastructure projects in Maldives (e.g., Sinamalé Bridge, port expansions) raise concerns of strategic encirclement (“String of Pearls”).

Securing SLOCs Against Non-Traditional Threats like piracy, smuggling, terrorism, and illegal fishing.

First-Responder Advantage- India’s humanitarian and disaster-relief operations (e.g., Operation NEER, COVID-19 aid) reinforce its role as the preferred security partner in the Indian Ocean Region (IOR).

Impact on India’s Regional Stability Amidst International Competition

Maintaining Balance of Power in the IOR- Maldives’ cooperation ensures that strategic outposts in the central Indian Ocean remain friendly to India and aligned with its Indo-Pacific vision.

Shifts between pro-India and pro-China governments in Maldives (e.g., “India Out” campaigns) requires non-interference and developmental diplomacy to ensure long-term engagement.

Regional Multilateralism and Cooperative Security through the Colombo Security Conclave and Indian Ocean Rim Association (IORA).

India’s investments in infrastructure, tourism, and climate adaptation projects foster goodwill, ensuring Maldives remains a stable democratic partner in an increasingly contested Indo-Pacific.

Challenges

India’s Panipat Syndrome – Reactive rather than proactive diplomacy

Political Instability due to Chinese influence (Deep Pocket Diplomacy)

India’s delivery deficit and Big Brother Syndrome

Way Forward

Expand joint naval patrols, intelligence sharing

Gujaral Doctrine – non-intrusive, partnership-based approach

Institutionalize Political and Strategic Dialogue- 2+2 Ministerial Dialogue

Provide viable alternatives to Chinese Belt and Road projects via Neighbourhood First and SAGAR

A stable, sovereign, and friendly Maldives is essential for India’s ambition of Net Security Provider in IOR.