India,Saudi Arabia strengthen strategic partnership

Union Commerce and Industry Minister Piyush Goyal represented India at the 8th edition of the Future Investment Initiative (FII) in Riyadh on Wednesday, a global forum known for uniting key leaders, investors, and thinkers to explore pressing global issues. During the plenary session, Minister Goyal shared India’s vision for using economic diplomacy to foster global cooperation, addressing how dialogue and diplomacy can bridge divides both economically and in matters of conflict. He emphasized that economic diplomacy serves as a potent tool for tackling global challenges and advancing international unity.
In his discussions with Khalid Al-Falih, Saudi Arabia’s Minister of Investment, Goyal explored avenues to expand bilateral investments in diverse sectors, including pharmaceuticals, automobiles, and petrochemicals. The collaboration between India and Saudi Arabia has been reinforced under the Saudi-India Strategic Partnership Council (SPC), co-chaired by Goyal and Prince Abdulaziz bin Salman Al Saud, Saudi Arabia’s Minister of Energy, stated official release.The ministers signed the minutes of the SPC’s second ministerial meeting, which reviewed progress in their shared initiatives and identified new opportunities to strengthen economic ties. Goyal highlighted the importance of sustaining momentum in these engagements to realize the full potential of the strategic partnership.
India and Saudi Arabia’s relationship has evolved significantly over recent decades, with pivotal agreements like the Delhi Declaration in 2006 and the Riyadh Declaration in 2010 establishing frameworks for cooperation, particularly in the energy sector. In FY 2023-24, Saudi Arabia became India’s fifth-largest trading partner, with bilateral trade reaching nearly USD 43 billion. India relies on Saudi Arabia for 14% of its crude oil imports, while Saudi Arabia is a critical market for Indian engineering goods, textiles, and food products. Both nations are also expanding their energy collaboration beyond oil, exploring opportunities in renewable sectors, including solar, wind, and hydrogen.Indian companies have made substantial investments in Saudi Arabia, with major players like L&T, TATA, and TCS engaged in construction, IT, and finance projects amounting to approximately USD 3 billion. Meanwhile, Saudi Arabia is increasingly interested in the Indian market, with its Public Investment Fund (PIF) investing in major Indian firms like Reliance Jio and supporting the growth of various startups, according to information. Addressing the vibrant Indian diaspora, Goyal highlighted India's remarkable economic growth over the past decade under the leadership of PM Modi.

This is how the Indian diaspora can contribute to the success of One District One Product initiative! pic.twitter.com/Z9dprdVVvm

— Piyush Goyal Office (@PiyushGoyalOffc) October 30, 2024

Saudi Arabia’s Vision 2030 reform program complements India’s developmental goals, offering extensive collaboration opportunities in areas such as food security. The Saudi Agricultural and Livestock Investment Company (SALIC) has already invested in India’s rice industry, ensuring a dependable food supply chain. Saudi Arabia views India as a key source for commodities like rice, red meat, and seafood, creating a mutually beneficial agricultural trade relationship. India’s robust pharmaceutical industry has proven valuable to Saudi Arabia, particularly during the COVID-19 pandemic, with both nations now exploring collaborations in biotechnology. India’s expertise in AI and cybersecurity aligns well with Saudi Arabia’s ambition to develop a knowledge-based economy under Vision 2030.Goyal’s visit to Riyadh also highlighted the ongoing success of the India-Saudi Investment Forum, where over 50 agreements were signed across multiple industries, according to information, underscoring the strong commitment to bilateral investment and economic partnership.

(Business Correspondent)