Israel occupies a significant geographical position in the Middle East and shares borders with various countries. Its strategic location presents both opportunities and challenges in terms of interstate relations, international security, and economic interactions.
Recent Developments in India-Israel Relations
Recently, Israel’s Deputy Prime Minister and Defence Minister visited India to hold bilateral meetings. This visit aimed to foster stronger ties between the two countries, particularly in the defence sector. The two ministers delivered a joint declaration, marking 30 years of India-Israel relations and reiterated their commitment to deepen defence ties.
Highlights of the Bilateral Visit
The ministers signed several agreements during their visit, including the adoption of the India-Israel Vision on Defense Cooperation. They agreed to boost defense cooperation and exchanged a Letter of Intent to enhance cooperation in futuristic defence technologies. This collaborative approach aligns with Indian Prime Minister Narendra Modi’s ‘Make in India’ vision.
India-Israel Defence Ties: An Overview
Despite the challenges posed by the Covid-19 pandemic, both countries have managed to maintain robust military-to-military activities. Their focus is on advancing cooperation in all domains through research & development in future technologies and defence co-production. Recognizing mutual security challenges, both ministers expressed their commitment to enhancing collaboration in all forums.
Historical Context of India-Israel Relations
India officially recognized Israel in 1950, but it wasn’t until 1992 that the two countries established full diplomatic relations. As of December 2020, India was among 164 United Nations member states with diplomatic ties to Israel.
Trade and Business Interactions between India and Israel
Since establishing full diplomatic relations in 1992, bilateral merchandise trade has grown from USD 200 million to USD 4.14 billion (excluding defense) in the period from April 2020 to February 2021. As evidence of this growth, trade in diamonds now constitutes about 50% of bilateral trade.
Investment Landscape: Israeli Companies in India
Israel’s companies have shown increasing interest in India across various sectors, including energy, renewable energy, telecom, real estate, and water technologies. Many Israeli companies are setting up R&D centers or production units in India, underlining their long-term commitment to the Indian market.
Defence: A Cornerstone of India-Israel Relations
India is Israel’s largest buyer of military equipment, making Israel the second-largest defence supplier to India after Russia. The Indian forces have adopted a wide array of Israeli weapon systems over the years, further cementing the defense relationship between the two countries.
The Role of Agriculture in India-Israel Cooperation
In May 2021, the two countries signed a three-year work program agreement for development in agriculture cooperation. This agreement aims to grow existing Centres of Excellence, establish new centers, increase CoE’s value chain, encourage private sector companies, and enhance collaboration.
Scope of Science & Technology Collaboration
Both countries are focusing on expanding their science and technology partnership, as demonstrated by the recent deliberations on the India-Israel Industrial R&D and Technological Innovation Fund (I4F). They approved three joint R&D projects worth 5.5 million USD and suggested measures to create a broader India-Israel collaborative ecosystem.
India-Israel Cooperation in Renewable Energy
Israel’s decision to join the India-led International Solar Alliance (ISA) aligns with their mutual objectives to increase cooperation in renewable energy and partner in clean energy. This move reflects both countries’ commitment to tackle environmental challenges and transition to a sustainable energy future.
Way Forward
The relationship between India and Israel has evolved significantly over the past three decades, mainly due to shared strategic interests and security threats. Both countries are working to manage regional challenges and contribute constructively to global issues like climate change, water scarcity, and food scarcity. A proactive Middle Eastern policy is crucial for India to capitalize on the geopolitical realignments being introduced by the Abraham Accords.