The First India-GCC Foreign Ministers’ Strategic Dialogue -Outcomes and Assessment

On 9th September, India and the Gulf Cooperation Council (GCC) held the first ever meeting of the Foreign Ministers in Riyadh, thereby institutionalizing the much-awaited dialogue and format which also attests to both sides attaching high importance to this critical partnership. Dr Jaishankar, Indian Minister of External Affairs also held bilateral meetings with his GCC counterparts from UAE, Qatar, Saudi Arabia, Bahrain, Oman and Kuwait with whom frequent meetings were held in a bilateral context during the past decade.

During the last decade, PM Modi’s ‘Act West Policy’ has been a tremendous success as relationship with West Asia got converted and upgraded from a transactional relationship to a truly strategic partnership as the oil rich GCC countries have become the fulcrum of economic and regional power in the larger West Asian context. It is no coincidence that they conferred the highest civilian order of their countries on the Indian leader to display the importance of this relationship in the bilateral context. But the sub regional and regional formats and drivers are equally important, which was witnessed in the formation of I2U2 (India, UAE, USA and Israel) the so called West Asian Quartet. Subsequently, on the sidelines of the G20 Summit in New Delhi -where India had invited Egypt, Oman and UAE as special guests the signing of the India-Middle east-Europe -Economic Corridor (IMEEC) was another strategic move for enhancing connectivity and for creating corridors of prosperity. These may have come under a bit of a cloud due the ongoing Israel-Hamas war. But what further enforces is the intense resumption of the strategic India -GCC dialogue which in future could be raised to the Summit level given the trajectory of our engagements.

GCC has the unique distinction of being India’s partner in energy security, food and fertilizer security, maritime security and welfare of over 9 million Indian strong workforce which remits nearly $ 45-50 bn annually to India as it contributes to the growth and development of their host countries. Dr Jaishankar while speaking at the meet underscored that ‘Our meeting today is not just an occasion to reflect on our achievements, but an opportunity to chart an ambitious and far-reaching course for the future.’ And that there are many ways to contemplate our partnership. Let me offer the framework of 3Ps – People, Prosperity and Progress. He was also defining the fundamental contours of the existing landscape and future road map. Progress and prosperity require its concomitant – security – to also be stronger. The Gulf region occupies a central place in contemporary geopolitics. In a world polarized by conflict and tension, we share a commitment to global peace, security, and stability, he added. Trade and investment constitute a key part of the relationship with over $174 bn of bilateral trade nearly 11% of total GCC trade and high level of two-way strategic investments and even more commitments in the sunrise sectors and hi-tech areas have been witnessed in recent years.

GCC Secretary-General Jasem Albudaiwi, also emphasized that this dialogue reflects the “sincere and mutual desire to enhance and develop relations in a way that serves the interests of our peoples and reinforces stability and prosperity in the region.” He reiterated the historical and deep-rooted ties between India and the Gulf states, which have been built on “foundations of mutual trust and fruitful cooperation.” He noted that this dialogue provides an effective mechanism for political engagement and consultation on shared challenges.

In order to fulfil the objectives, set out in this meeting a Joint Action Plan for 2024-28, with specific contours and areas of cooperation, was formulated and adopted. It is understood that Dr Jaishankar had shared his ten-point plan for the same. This broadly includes health and healthcare; agriculture and food security energy security and renewables, transportation and connectivity, trade and investment and culture and people to people ties. More areas could be included with mutual consultations going forward.

Dr Jaishankar, according to some local sources attending the meeting, also recalled the long pending India -GCC Free Trade Agreement (FTA/CEPA) negotiations which could be accelerated for early conclusion. This will surely take the bilateral trade way beyond the current band of $160-180bn. It will also further intensify cooperation for which an annual India-GCC Business Conclave was proposed which will enable corporate to Corporate connect and comfort. It will be recalled that India had already signed a CEPA with UAE two years ago which has shown a positive impact on the economic engagement already and could become a readily available template. Separately India -Oman FTA is being negotiated. Newer areas in digital, space, semiconductors, green hydrogen green ammonia were also highlighted by the EAM. India-GCC FTA and other trade, technology, investment and connectivity projects have a much greater potential for further contributing to the strategic IMEC corridor’s success thereby derisking the global and value supply chains.

Tourism is yet another area and as the GCC moves towards a unified visa/entry system they can benefit a great deal from the spate of much sought after Indian tourists. Of course, around 9 million Indians are living and working in GCC. For the Indian investors the GCC countries have become favorites. India’s skill and reskilling initiatives could provide the requisite efficiently customized trained manpower for the changing needs of a diversifying and modernizing Gulf and West Asia region. EAM laid special emphasis as the welfare of the diaspora remains a priority for the Indian Government. This would be further compounded by the enhanced people to people exchanges focusing on youth interactions and our civilizational heritage.

Political cooperation and security collaboration in all their dimensions are equally or perhaps more important for India and GCC, since the global order remains in flux and more complex challenges continue to confront the policy makers. Defence, cyber, space, nuclear, energy and food security, AI and Quantum technologies do require an integrated approach and trusting collaboration since these are becoming increasingly disruptive and dangerous. EAM also emphasized that greater defence and security cooperation especially in the maritime domain is necessary for ensuring regional security.

An important beginning has been made and must be pursued through regular interactions, exchanges and institutional mechanisms. One of these could be an India -West Asia annual Forum among Think tanks which could bring together the policy makers, intellectuals, West Asia experts, security experts and professionals from diverse domains on both sides and could contribute to the understanding and the dynamic in the region from a diverse perspective.