India and Qatar Strengthen Economic and Strategic Ties
New Delhi, February 19, 2025: India and Qatar have taken a major step in enhancing their bilateral relations by setting ambitious goals for trade, investment, and energy cooperation. During the two-day state visit of Qatar’s Amir, Sheikh Tamim bin Hamad Al-Thani, Prime Minister Narendra Modi reaffirmed India’s commitment to deepening ties with Qatar, a key partner in the Gulf region.
Boosting Trade and Investment
The highlight of the visit was the decision to nearly double annual trade from $14 billion to $30 billion by 2030. Both nations agreed to enhance economic collaboration by addressing market access challenges and exploring a comprehensive trade agreement.
“We are shifting from an energy-driven trade relationship to one focused on technology, sustainability, and entrepreneurship,” Commerce Minister Piyush Goyal said at the India-Qatar Business Forum.
Qatar’s sovereign wealth fund, the Qatar Investment Authority (QIA), pledged an additional $10 billion investment in India. Key sectors for collaboration include infrastructure, ports, renewable energy, smart cities, food parks, artificial intelligence, and robotics. QIA’s current investments in India, worth $1.5 billion, span retail, IT, power, and affordable housing.
Energy: The Cornerstone of Economic Ties
Qatar remains India’s top supplier of liquefied natural gas (LNG) and liquefied petroleum gas (LPG), providing 10.91 million metric tonnes of LNG and 4.92 million metric tonnes of LPG in 2023-24. To ensure long-term energy security, Qatar Energy and Perronet LNG signed a renewed 20-year contract for 7.5 million metric tonnes per annum of LNG starting in 2028, valued at approximately $78 billion.
Beyond imports, both nations are exploring joint ventures in energy infrastructure, focusing on refining, petrochemicals, and green hydrogen. These efforts aim to strengthen India’s energy security while supporting Qatar’s economic diversification.
Security Cooperation and Regional Stability
Security cooperation was a key focus, with both leaders condemning terrorism in all forms, including cross-border threats. They agreed to enhance intelligence sharing, counter money laundering, and combat cybercrime and drug trafficking.
Discussions also covered the evolving West Asia situation, particularly the Israel-Hamas conflict, with both sides exchanging views on regional stability and conflict resolution. Despite differing perspectives on some geopolitical issues, their commitment to dialogue and cooperation remains strong.
Indian Community in Qatar
With over 830,000 Indians living in Qatar, the welfare of the expatriate community was a priority. Modi appreciated Qatar’s support during the COVID-19 pandemic and welcomed efforts to address concerns of Indian workers. Legal assistance for 600 Indians in Qatari prisons was also discussed, with an agreement on prisoner transfers awaiting ratification.
A major diplomatic achievement was the recent release of eight Indian Navy veterans—initially sentenced to death but later pardoned—reflecting the deepening trust between the two nations.
Cultural and Diplomatic Engagements
Five new memorandums of understanding (MoUs) were signed, covering economic partnership, archives and documentation, youth affairs, and sports. These agreements aim to enhance academic and cultural exchanges while fostering closer people-to-people ties.
A Stronger Partnership for the Future
Sheikh Tamim’s visit—his first to India in nearly a decade—marks a new chapter in India-Qatar relations. The agreements signed lay the foundation for a future built on economic resilience, energy security, and technological collaboration. As both nations navigate shifting global dynamics, their partnership is set to play a crucial role in regional and international cooperation in the years ahead.
Inputs from agencies.
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