India iran relations pdf

Postcolonial political and cultural ties between the Shah of Iran and India were strong. Indeed, most of the world sees Iran as a hostile country that is resistant to change. Accordingly, the Iran-India relationship has been checkered. With the wave of Western sanctions imposed on Iran, relations between the two countries are likely to become even more complicated. However, leaders of both nations have tried to expand ties in a number of areas, including counterterrorism, regional stability, and energy security.

In the second period, from , neoliberal ideas and economic reform became a priority. Military power and defensive capabilities have taken a more prominent role. India also seeks interaction with superpowers, greater influence in global affairs, and a permanent seat on the UN Security Council. Several key issues shape the Iran-India relationship.

Through emphasizing these conflicts, New Delhi sees an opportunity to limit Pakistan's influence in international Islamic forums. New Delhi is working with Tehran to open the Iranian port of Chabahar. The development of this port as well as Indian investment in infrastructure along Iran's border with Afghanistan not only helps India to counter the massive Chinese investment in Pakistan's Gwadar port but also boosts India's influence in Afghanistan, which counters Pakistan's influence there.

Iran considers India significant for a number of reasons. First, India, like Iran, is an Asian country, and the two share historic, cultural, and ethnic links. India's foreign policy is also congruent with that of Iran; they are both opposed to U. However, Iran cannot expect India to favor it in global and security issues, especially in its nuclear issue.

Given their affinities, there are various areas of potential cooperation for Iran and India. Both countries are looking to revise the global security equation and the structure of international security. Iran objects to the world management model, especially the UN Security Council structure. India, for its part, as a nascent great power, is seeking a permanent seat on the Council.

Because the two countries are outsiders in regard to this structure, they are brought together. In the first seven months of , India's crude oil imports from Iran fell 46 percent compared with the same period last year. The Iran-Pakistan gas pipeline, also known as the Peace Pipeline Project, is under construction and will deliver natural gas from Iran through Pakistan and to New Delhi. The project could also boost and deepen Iranian economic diplomacy and political influence in the Indian subcontinent.

In this way, energy is the main field of cooperation between the two countries. Yet, after , the American variable entered into the Iran-India relationship equation, with India seeking closer ties with the West.

One of the top security issues for India is Pakistan, as the two neighbors have a long relationship of animosity. Communal tension and violence between Hindus and Muslims have risen in some areas of India over the past decade, and India's growing relationship with Israel and the United States, which has brought about domestic criticism, has prompted India to reinforce its ties with the Muslim world.

Iran can be helpful to India by providing it with a Muslim partner that acts as a counterbalance to Pakistan, and thus Iran presents a potential strategic advantage for India. This concern led to the establishment of a joint committee in targeted at eliminating terrorist activities, gun trafficking, and the narcotics trade. In fact, India was able to dispatch the first consignment of wheat amounting to 1. And, to serve that purpose, it is necessary for India, the fourth largest energy- consuming country in the world, to ensure an uninterrupted supply of energy resources.

Hence, Iran — with its rich energy resources estimated at The relationship between India and Iran can work both ways. Iran may find a huge demand for its resources in India.

The relationship has generally remained cordial but it has not reached the level of strategic partnership. This situation soon changed as both countries found themselves in two different blocs during the Cold War. However, despite being in two different camps, both countries managed to retain cordial relations. Even when India went to war with Pakistan in as well as , the situation remained static. Following the Iranian revolution, further improvement in the Indo-Iran relations was expected.

During initial days of the conflict, both countries found themselves diplomatically opposed as Iran put its support behind the Northern Alliance led by Ahmad Shah Masud whereas India backed the Soviet installed government of Babrak Karmal. The situation again changed as the Soviet forces withdrew from Afghanistan in February since both the countries vehemently opposed the Taliban. Interestingly, at this particular point in time, India, Iran and the US found themselves on the same page as all three were opposed to Taliban rule in Afghanistan and were eager to overthrow their government.

Both countries agreed to forge a strategic partnership. The third vote came in when an IAEA resolution was passed asking Iran to shelve construction of a uranium enrichment plant at Qom. However, despite these setbacks in a relationship, both Iran and India continued their trade and economic relationship and India continued importing oil from Iran despite the sanctions. In fact, after the European companies refused to provide insurance to tankers carrying oil from Iran, the Indian government came forward offering state-backed insurance to resume business with Iran.

The US factor played a major role in preventing Iran from taking advantage of its energy resources. Initially, the Iranian revolution resulted in the US banning all its companies from doing business with Iran. This left an open space for all other rival companies. The US also froze all assets of Iran and restricted all international financial institutions to lend any loans to Iran. Iran, which was still trying to recover from almost a decade long war with Iraq, found it extremely difficult to deal with this situation.

Perhaps, it was due to the oil prices in the international market that had a direct bearing on the economies of the US and other European powers. Things did not end here. The countries that were doing business with Iran in refined petroleum products were also brought under the purview of sanctions. As a result, Reliance stopped exporting refined gasoline to Iran because it did not want to lose its business with the US.

Besides, with the dissolution of the Soviet Union in , the US emerged as the sole superpower. With this changed reality, India was forced to adjust and quickly made a rapprochement with the US as both New Delhi and Washington found areas of mutual interests.

For example, both were wary of the rise of the Chinese influence throughout the world. India, therefore, could not afford to ignore the US while maintaining its relations with Iran.

In , when the Indian Foreign Minister, K Natwar Singh, went to Tehran the Bush administration did not hesitate to warn India that its failure to cooperate with the US on Iran could have negative implications for the civil nuclear agreement.

The charges were strongly denied by the government. This happened soon after India and the US reached an understanding over the civil nuclear deal.

It was rightfully assumed that India had taken this step at the behest of the US. Ultimately, Iran warned that it would cancel all the contracts with India if payments were not made. India paid roughly two-third of this money through the German-based Europaisch Iranische Handelsbank in February Later, this bank also stopped receiving payments from India.

Europaisch Iranische Handelsbank was then replaced by Turkish Halkbank which also refused to help India in this regard. The following year India declared that it would reduce oil imports from Iran by 15 per cent on an annual basis. The idea of IPI gas pipeline was first floated by a Pakistani engineer in s. Subsequently, the Iranian authorities suggested extending this pipeline into India as well.

Following his meeting with the US President Bush, the Joint Statement issued on July 18, , clearly stated that the US would seek agreement from the Congress to make necessary amendments in the US law and will also convince its allies to work towards ensuring civil nuclear energy cooperation with India.

However, all such hopes were soon dashed when once again, on flimsy grounds, India boycotted tripartite talks under the American pressure. The interesting aspect about this project is that it is backed by the US, unlike the IPI gas pipeline project. India-Iran Relations under Modi During his election campaign and after he assumed power following the 16th Lok Sabha elections held in , Prime Minister Modi announced that his government would focus more on the neighbourhood.

On May 22, , he embarked on a two-day visit to Iran. The visit was significant since it was the first visit to Iran by an Indian prime minister in fifteen years. According to the agreement relating to Chabahar, the contract between India Ports Global Private Limited and Arya Bander of Iran seeks to develop and operationalise two terminals and five berths with cargo handling capacities for 10 years. During his deliberations, both India and Iran expressed their confidence that they would be able to conclude an agreement regarding the Farzad-B gas field on a priority basis.

In July , Modi embarked on a visit to Israel. He was the first Indian Prime Minister to visit Israel in 70 years. Both Iran and Israel see each other as existential threats to each other. India, on the other hand, has managed to retain cordial relations with Israel.