Contemporary Trends in India’s Foreign Policy

Authors: Sayonee Mangaraj & Nachiket Tulankar, B.A. LL.B. (Hons. In Adjudication and Justicing) 2022-27, MNLU Nagpur.
Description: The following blog is part of the collaboration between VidhiNama Education and Research Centre LLP with Think India – MNLU Nagpur Chapter for their inaugural Blog Writing Competition, themed “Contemporary Trends in India’s Foreign Policy”. The authors of this blog, Sayonee Mangaraj & Nachiket Tulankar, bagged Rank 5 in this competition.

Introduction

Foreign policy is typically viewed as stable, compared to domestic policy, but it is both constant and adaptable. The evolving dynamics of foreign policy refer to the ability to adjust in response to changes in a country’s external environment or significant domestic shifts. A dynamic foreign policy, characterised by a willingness to take risks, combines flexible and static elements. India’s foreign policy has become more flexible and dynamic, highlighted by hosting the G20 Summit and introducing the Foreign Trade Policy (FTP) 2023. The FTP 2023 aims to adapt to market demands through trust-based partnerships with exporters, enhancing automation, export excellence, and recognition. It also focuses on emerging sectors like dual-use high-end technology goods and export e-commerce, while promoting exports through collaboration with States and Districts.

This blog will explore various aspects of India’s contemporary foreign policy, particularly since 2014 due to the substantial change in the foreign policy that was witnessed, and how it interacts wholly with the globe and its dynamics. 

India & South East Asia

Announced in 2014, the ‘Act East Policy’¹ is an upgrade of the earlier ‘Look East Policy’ from the Vajpayee era. This diplomatic initiative aims to enhance economic, strategic, and cultural relations with the Asia-Pacific region. It focuses on fostering cooperation with ASEAN countries across various areas, including connectivity, commerce, culture, defence, and people-to-people interactions.² The policy also aims to boost economic development in India’s North Eastern Region, which serves as a gateway to Southeast Asia. Through practical and innovative approaches, India seeks to strengthen its security, economic, and political ties with Southeast Asia and the broader Indo-Pacific region.  

India-Eurasia Relations

In 2016, India and Russia signed an Inter-Governmental Agreement for four stealth frigates, with two to be imported and two built locally, with deliveries scheduled to start in 2026. Additionally, a major investment deal was struck to develop a major ammunition factory in Uttar Pradesh for producing AK series guns and other arms. In October 2018, India also agreed to purchase five S-400 Air Defence Missile Systems for $5.5 billion.

India aims to maintain open communication with both Russia and Ukraine, upholding a neutral stance based on strategic autonomy. The country’s presence in the Eurasia region has grown, notably during the Armenia-Azerbaijan conflict, and its ties with Georgia have strengthened. Recent Indian policy decisions reflect a focus on fundamental national interests and pragmatic realism. 

India & Indian Ocean Region (Sagarmala Project)

‘Sagarmala’ programme (Ocean Diplomacy) is the flagship programme of the Ministry of Ports, Shipping and Waterways to promote port-led development in the country by taking advantage of India’s 7,500 km long coastline, 14,500 km long potentially navigable waterways and the strategic location on major maritime trade routes.³ The project’s goal is to reduce domestic commerce and EXIM (Export-Import) logistics costs with minimal infrastructure investment. While also shifting the focus upon the often-neglected Indian Ocean Countries (as the voice of Global South). It aims to create up to 40 lakh new direct jobs and 60 lakh new indirect opportunities. The project plans to modernise existing ports into world-class hubs of coastal economic activity, integrating their development with industrial clusters, hinterlands, and efficient evacuation systems through inland and coastal waterways, road, rail, and other means.

East Asia

The Quad (Quadrilateral Security Dialogue) is a geopolitical alliance comprising the USA, India, Japan, and Australia, aimed at ensuring that the Indo-Pacific region remains open, inclusive, and free. The alliance focuses on economic growth, technological innovation, and security, with key goals including promoting democratic values and countering China’s influence in the region. India plans to advance its Indo-Pacific policy through the upcoming Quad foreign ministers conference in Tokyo, addressing issues such as North Korea’s nuclear and missile programs and China’s increasing naval activities in the East and South China Seas. Additionally, India is engaging with Japan on various economic development forums.     

India & BIMSTEC Region

The Bay of Bengal Region, home to the world’s largest young population, is increasingly recognised for its growing sports talent. This region is also central to the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC), a framework for technical and economic collaboration among Bangladesh, Bhutan, India, Myanmar, Nepal, Sri Lanka, and Thailand.⁴ To promote regional cooperation, India sponsored the BIMSTEC Aquatic Championship 2024 in New Delhi, this year. India continues to work towards enhancing the effectiveness and performance of the BIMSTEC multilateral group.

India & SAARC Region

South Asian Association for Regional Cooperation (SAARC) is a political and economic regional organisation of South Asian countries founded in 1985. Through greater intra-regional collaboration, it seeks to quicken the pace of social and economic growth in its member nations.⁵ In the course of the talks, India reaffirmed its commitment to regional cooperation through SAARC for the advancement and prosperity of the regional people. It was also highlighted that India has been making multiple attempts and taking various measures to bring the peoples of South Asia closer together and views SAARC as a significant regional organisation for cooperation in the area.

India & Europe

Following Brexit, with the aim of strengthening their economic relations, India and the UK started negotiations for a ‘Free Trade Agreement’ in January 2022. The agreement is wide and covers IPR, products, services, etc. While India is also continuously determined for an Extradition Treaty with the UK. Whereas, even the EU recognising India as one of the most potential and influencer in the whole world, especially after the COVID-19 pandemic and rising Indian diaspora and soft-power in EU region, and attempting to grow out of its ‘orientalist approach’, especially after the Russia-Ukraine conflict. Likewise, India also constantly developed its ties with all EU nations, remarkably, when PM Modi also became the first PM to visit Austria.

India’s foreign policy toward Europe is evolving to deepen economic ties, enhance strategic cooperation, and tackle global challenges together. Both sides are focusing on expanding trade and investment, especially in technology, renewable energy, and infrastructure. They are also aligning on issues like climate change and cybersecurity. The India-EU Strategic Partnership supports these efforts, and both are adapting to Europe’s shifting geopolitical landscape and collaborating on global platforms like the UN and G20. While also facilitating the “India-Middle East-Europe Corridor”,⁶ considered as a potential win by India’s Diplomacy. This pragmatic approach aims at mutual growth and shared global responsibilities.

India, Central Asia & Middle-East

In an effort to fortify ties with a vital Middle Eastern country, India and Iran signed a 10-year agreement on Monday to build and run the Iranian port of Chabahar.⁷ A long-term agreement was reached between India & Iran. Accordingly, it will contribute around $120 million to the deal, and another $250 million would be provided by finance, making the contract’s total worth $370 million. India has been constructing the port in Chabahar on Iran’s southeast coast along the Gulf of Oman to transport goods to Iran, Afghanistan, and other Central Asian nations. This avoids the use of the ports of Karachi and Gwadar in Pakistan, its adversary. The USA had also threatened India with CAATSA sanctions.⁸ Whereas India also responded sharply to the USA as a counter.⁹

The Gulf Cooperation Council (GCC) consists of six nations: Bahrain, Saudi Arabia, Qatar, Kuwait, Oman, and the UAE. The organisation is interested in a free trade agreement with India.   

India & Africa

A major highlight of India’s G20 Summit was the inclusion of the African Union as a permanent member, alongside the European Union. This decision, proposed by India and unanimously supported by all G20 members, elevates the African Union from an ‘invited international organization’ to a full member. Despite this progress, the Global South faces challenges due to hegemonic practices by the Global North, which impede cohesive action and could lead to an increase in undernourishment. India’s ‘Vaccine Diplomacy’ has significantly supported the African continent amid these difficulties, which further places India into a voice and a reliable partner of Global South in this globalizing world.

India & North America

The Government of India and the U.S. Government have signed their first ‘Cultural Property Agreement’ to reduce the illicit trafficking of Indian antiquities to the USA. The agreement mandates that any Indian artifacts seized by U.S. Customs from the Designated List must be returned to India. This arrangement facilitates the prompt return of Indian artifacts to their country of origin.

With Kamala Harris as U.S. Vice President and Indian Americans becoming more active in public life, the Indian diaspora (which is substantial in no. and running prominent American MNCs) in the U.S. has demonstrated significant integration and influence. This includes the involvement of Indian-origin figures such as Republican Vice-Presidential nominee ‘Vivek Ramaswamy’. However, diplomatic relations between India and both the U.S. and Canada have been strained due to the Khalistan issue, particularly related to the deaths of Nijjar and Pannun, who were allegedly targeted on foreign soil by the Indian government. 

India & South America

India’s relationship with South America has evolved to emphasize deeper economic, political, and cultural ties. Contemporary trends include expanding trade, energy cooperation, and diplomatic engagement. India is focusing on bilateral trade agreements, leveraging South America’s natural resources, and investing in energy and renewable projects. Diplomatic efforts are bolstered by new embassies, regional participation, and cultural exchanges, with initiatives like the India-South America Dialogue promoting mutual understanding. India supports South American nations on global platforms and has notably contributed to the continent through its ‘Vaccine Diplomacy’ initiative.    

Conclusion

In conclusion, India’s contemporary foreign policy reflects a nuanced approach designed to meet both international expectations and domestic demands. As globalization advances, India’s strategy has become more independent and dynamic, aiming to balance the needs of an evolving political landscape with its global ambitions. The drive for higher GDP growth rates and societal demands are pivotal in shaping this policy, yet they face potential disruptions from various external and internal factors. India’s foreign policy is increasingly oriented towards a vision of ‘One Earth-One World-One Future’, emphasizing global cooperation while pursuing national interests. As Prime Minister Narendra Modi has articulated, “Together, we need to escape the cycle of dependency on systems and circumstances which are not of our making.” This approach underscores India’s commitment to navigating a complex global environment while asserting its own strategic priorities, ensuring a pragmatic and forward-looking stance in international relations.

1. Ministry of External Affairs, Government of India, “ACT EAST POLICY”, https://www.mea.gov.in/lok-sabha.htm?dtl/36927/QUESTION+NO1456+INDIAS+ACTEAST+POLICY (last visited 1 August, 2024).[↩]
2. Ibid.[↩]
3. Ministry of Ports, Shipping and Waterways, https://shipmin.gov.in/sites/default/files/sagarmala-eng.pdf, (last visited 1 August, 2024).[↩]
4. See: https://bimstec.org/.[↩]
5. Ministry of External Affairs, https://www.mea.gov.in/press-releases.htm?dtl/37815/Official+visit+of+SAARC+Secretary+General+to+India+May+1115+2024, (last visited 1 August, 2024).[↩]
6. The Indian Express, “India-Middle East-Europe Economic Corridor: Significance and Prospects for India” dated: 14 June 2024, available at: https://indianexpress.com/article/upsc-current-affairs/upsc-essentials/india-middle-east-europe-economic-corridor-significance-for-india-upsc-9373544/ (last accessed on: 01 August 2024).[↩]
7. Dinakar Peri and Suhasini Haidar, “India, Iran sign 10-year contract for Chabahar port operation”, THE HINDU (dated: 13 May 2024), available at: https://www.thehindu.com/news/national/india-iran-sign-long-term-bilateral-contract-on-chabahar-port-operation/article68171624.ece (last accessed on: 01 August 2024).[↩]
8. Times of India, “The USA issued a warning about the possible dangers of sanctions as well as the risks that the countries are exposing themselves up to”, See: https://timesofindia.indiatimes.com/india/anyone-considering-business-deals-with-iran-us-warns-of-sanctions-after-india-iran-chabahar-port-deal/articleshow/110098267.cms (last accessed on: 1 August 2024).[↩]
9. Suhasini Haidar, “Chabahar will benefit region, U.S. should not take a ‘narrow view’ of it: Jaishankar”, THE HINDU, available at: https://www.thehindu.com/news/national/jaishankar-downplays-us-sanctions-threat-over-iran-port-deal/article68177784.ece (last accessed on: 1 August 2024). Also see: https://economictimes.indiatimes.com/news/india/united-states-understands-the-importance-of-chabahar-port-says-mea/articleshow/110211211.cms?from=mdr.[↩]