INDIA-QATAR STRATEGIC PARTNERSHIP

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At the invitation of Prime Minister Shri Narendra Modi, His Highness Sheikh Tamim bin Hamad Al-Thani, the Amir of the State of Qatar, visited India on a state trip from February 17-18, 2025. He was accompanied by a prominent delegation, including ministers, officials, and business leaders. This marked the Amir’s second official visit to India.

On February 18, Prime Minister Shri Narendra Modi and His Highness the Amir engaged in bilateral talks at Hyderabad House. During their meeting, the two leaders highlighted the historic trade relations, deep-rooted people-to-people connections, and strong bilateral ties between India and Qatar. They expressed a shared commitment to further strengthening and expanding the multifaceted relationship. Both leaders expressed their satisfaction over the signing of the ‘Agreement on the Establishment of Bilateral Strategic Partnership.’

In light of the newly forged Strategic Partnership, both sides reaffirmed their dedication to reinforcing bilateral cooperation through regular and structured collaboration across areas such as politics, trade, investment, security, energy, culture, education, technology, innovation, sustainability, and people-to-people ties. They also expressed pleasure in the signing of the revised Double Taxation Avoidance Agreement and agreed to expedite discussions on the India-Qatar Bilateral Investment Treaty.

Key Highlights of the Visit:

Strategic Partnership Upgrade: India and Qatar have elevated their bilateral relationship to a strategic partnership, with the aim of enhancing collaboration across key areas such as trade, investment, energy, and security.

Bilateral Trade Target: The two nations have set an ambitious target to increase their bilateral trade from USD 14 billion to USD 28 billion by 2030.

Qatar’s Investment Commitment: Qatar’s sovereign wealth fund has already invested USD 1.5 billion in India and has committed an additional USD 10 billion in sectors like infrastructure, renewable energy, and emerging technologies, including artificial intelligence (AI) and machine learning.

Double Taxation Avoidance: The two countries have exchanged a Revised Agreement for the Avoidance of Double Taxation, which is expected to foster closer economic and financial ties.

Free Trade Agreement (FTA) Status: Both sides discussed the potential for a Free Trade Agreement (FTA). Ongoing negotiations are underway for an FTA between India and the Gulf Cooperation Council (GCC), which includes Qatar.

Infrastructure: Discussions also covered the implementation of India’s Unified Payment Interface (UPI) in Qatar and expanding Qatar National Bank’s presence in India through the Gujarat International Finance Tec-City (GIFT City).

Israel-Palestinian Conflict: India reaffirmed its support for a two-state solution to the Israel-Palestinian conflict.

Importance of Qatar for India:

Energy Collaboration: In FY 2022-23, Qatar was India’s leading supplier of Liquefied Natural Gas (LNG), contributing over 48% of India’s total LNG imports. It was also the primary source of liquefied petroleum gas (LPG), supplying 29% of India’s total LPG imports. This consistent energy partnership is crucial as India works to shift to cleaner energy sources, reduce its dependence on coal, and meet both climate objectives and growing energy needs.

Strategic Partnership: Qatar plays a key role in India’s “Link and ACT West” policy, which aims to strengthen ties with Gulf Cooperation Council (GCC) nations, including the UAE, Saudi Arabia, Oman, and Kuwait, in order to boost energy security and trade relations.

Geopolitical Importance: Qatar’s involvement as a mediator in key geopolitical conflicts, such as those in Afghanistan and the Israel-Palestine issue, provides India an avenue to engage indirectly in these regional matters. Furthermore, Qatar’s strong relationship with the US in the context of Middle Eastern peace initiatives offers India a valuable platform to collaborate with the US on regional challenges.

Counterterrorism Collaboration: Both India and Qatar share a common interest in tackling terrorism and extremism. Qatar’s strategic location in the Gulf allows India to collaborate closely on counterterrorism initiatives and maritime security, especially given that the Gulf region supplied 55.3% of India’s crude oil needs in 2022-23.

HH the Amir thanked Prime Minister Shri Narendra Modi for the warm welcome provided to him and his delegation. The visit strengthened the enduring friendship and cooperation between India and Qatar. Both leaders expressed hope that this renewed partnership would further develop, benefiting the citizens of both countries and supporting regional and global stability.

India-Qatar relations are characterized by mutual respect, economic cooperation, and cultural exchange. The strong expatriate Indian community, along with growing trade, defence, and cultural ties, continues to enhance the bilateral relationship between the two nations. India’s approach of engaging with Qatar under the philosophy of ‘Vasudhaiva Kutumbakam’ (the world is one family) reinforces the spirit of cooperation and understanding between the two countries.

This relationship remains significant for both countries in terms of economic, political, and cultural engagement, and it is expected to continue evolving positively in the years ahead.

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