Modi’s Desert Diplomacy: Trade, Energy, and Strategic Relations Are Highest on Agenda

Unknown Apr 02, 2026 800 Views

Prime Minister Narendra Modi will go on a two-day official Saudi visit on April 22-23, 2025, at the Crown Prince and Prime Minister Mohammed bin Salman's invitation. Modi is visiting the Kingdom for the third time, marking the increasing relationship between India and Saudi Arabia on trade, energy, defense, and regional security. The visit follows a series of high-level exchanges and comes at a pivotal moment for both nations, aiming to further strengthen their multi-faceted relationship.

Key Points

Background and Significance

PM Modi’s visit is at the invitation of Crown Prince Mohammed bin Salman and follows the Prince’s state visit to India for the G20 Summit in September 2023.
This is Modi’s third visit to Saudi Arabia, after previous trips in 2016 and 2019, highlighting the growing importance of bilateral ties.
The visit reflects India’s commitment to deepening its strategic partnership with Saudi Arabia, a key player in the Gulf and a major trade and energy partner.

Bilateral Relations

India and Saudi Arabia have a rich history of socio-cultural and trade relations, which have strengthened to a strong strategic partnership over the last ten years.
Areas of cooperation encompass political dialogue, defense and security, trade and investment, energy, technology, health, education, culture, and people-to-people contacts.
High-level visits and the formation of the India-Saudi Arabia Strategic Partnership Council have formalized cooperation and dialogue.

Economic and Trade Cooperation

Saudi Arabia is India's fifth-largest trading partner, and India is the Kingdom's second-largest trading partner.
Bilateral trade in FY 2023-24 was $42.98 billion, with Indian exports being $11.56 billion and imports being $31.42 billion.
Major Indian exports: engineering goods, rice, petroleum products, chemicals, textiles, food products, and ceramics.
Major Saudi Arabian imports: crude oil, LPG, fertilizers, chemicals, plastics, and allied products.
Saudi investments in India amount to around $10 billion, including significant holdings in Reliance Jio, Reliance Retail, and other areas.

Energy Security

Saudi Arabia is the third-largest crude oil supplier for India and one of the leading LPG suppliers, with a share of 14.3% of India's crude imports and 18.2% of LPG imports in 2023-24.
Better deals for India's increasing needs and energy security will be an important area of focus during the visit

Defense and Security Ties

Defense cooperation has expanded, including joint naval exercises (‘Al Mohed Al Hindi’), army exchanges, and high-level defense visits.
The first India-Saudi Joint Land Force Exercise ‘EX-SADA TANSEEQ-I’ was held in early 2024.
Both countries aim to further enhance defense industry collaboration and capacity building.

Regional and Strategic Issues

The visit comes amid ongoing regional tensions, including instability in West Asia and disruptions in the Red Sea.
India wants to align with Saudi Arabia on regional security, the India-Middle East-Europe Economic Corridor (IMEEC), and larger international matters.
The timing is important, with other great powers, including the US, playing in the region.

Sources Ministry of External Affairs, Government of India, India TV News, The Indian Express, UNI India

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