PM Visit to Israel

Syllabus: GS2/IR

Context

• The Prime Minister paid an official visit to Israel.
  • In a historic first, Prime Minister Modi addressed the Israeli Parliament, the Knesset, becoming the first Indian Prime Minister to do so.

Major Outcomes

• Both nations elevated their relationship to Special Strategic Partnership.
• The Joint Commission  on Science and Technology has been elevated to Ministerial level.
• Initiative to collaborate in Critical and Emerging Technologies led by National Security Advisors.
• 20 Joint Fellowships in Agricultural Research.
• Quota of up to 50,000 Indian workers over the next 5 years.
• Both nations also signed 17 pacts, the focus of the visit has been on technology, including in the area of artificial intelligence, cyber security, innovation research and startups.
• The two sides also vowed to expand their already close defence partnership by working towards joint development and joint production under the framework of the transfer of technologies.
• India and Israel also discussed the implementation of the India-Middle East Europe Economic Corridor (IMEC) and cooperation under the framework of I2U2 (India-Israel-UAE-USA).

Significance of the Visit

• Elevating Bilateral Ties to a “Special Strategic Partnership”: The upgradation of relationship to a Special Strategic Partnership reflects deeper cooperation across defence, technology, trade, and people-to-people ties. 
• Expanded Cooperation in Strategic & Emerging Technologies: Both countries agreed to launch major cooperation in critical and emerging technologies including AI, quantum computing, cybersecurity, and digital innovation.
  • These areas align with India’s goals like Atmanirbhar Bharat (self-reliance) and support Israel’s strengths as a global innovation hub.
• Defence and Security Collaboration: The two sides agreed to expand collaboration from merely procurement to joint development, joint production, and technology transfer of defence systems.
  • These moves strengthen India’s defence capabilities and deepen security partnerships amid global uncertainties.
• Economic Engagement & Trade Initiatives: The visit accelerated economic cooperation:
  • Progress toward a Free Trade Agreement (FTA) was reaffirmed.
  • A financial dialogue was launched.
  • Discussions included linking India’s UPI payments system with Israel’s payment infrastructure to boost financial connectivity.
• Context of Regional Tensions: The timing of the visit amid ongoing tensions in the Middle East, threats of conflict involving Iran, and wider geopolitical instability gave it added significance.
  • It signalled India’s intent to be an engaged global actor that advances its strategic interests while promoting peace and stability.

India and Israel Bilateral Relations & Evolving Ties

• Bilateral Relations: India announced its recognition of Israel in 1950. Regular embassies opened in 1992 when full diplomatic relations were established between the two countries. 
  • The bilateral relations were elevated to strategic partnership in 2017 and were upgraded to Special Strategic Partnership after this visit.
  • In 2022-23, the two countries jointly celebrated 30 years of the elevation of bilateral ties to full diplomatic ties.
• Defense & Security: Israel has been a key supplier of advanced technology from AWACS (Airborne Warning and Control System) radars and drones to missile and surveillance systems making it one of India’s largest defense suppliers.
• Bilateral Trade: India is Israel’s 2nd trading partner in Asia and the 7th largest globally.
  • In FY 2023-24 and FY 2024-25 the bilateral trade (excluding defense) was US$ 6.53 billion and US$3.75 billion respectively.
• Investment: During April 2000 – March 2024, Israel’s direct FDI into India was U.S. $334.2 million.
  • There are over 300 investments from Israel in India mainly in the high-tech domain, agriculture and water. 
• Agriculture & Water Management: In 1993, the first Agreement on Cooperation in Agriculture was signed.
  • 2006: Comprehensive Work Plan on Agriculture launched (3-year cycles) – implemented through MASHAV (Israel’s Agency for International Development Cooperation).
  • 2025: Revised Agriculture Cooperation Agreement signed, expanding areas of partnership.
  • The Indo-Israeli Centers of Excellence (CoE) demonstrate Israeli expertise, technologies and innovation in the horticultural field.
• Science, Technology, Counter-Terrorism & Innovation: India-Israel cooperation in Science & Technology (S&T) is overseen by the Joint Committee on S&T, established under the Agreement of Science & Technology cooperation signed in 1993.
  • A US$ 40 million India-Israel Industrial R&D and Technological Innovation Fund (I4F) for joint projects was also set up.
• Multilateral Cooperation: Both are active members of the I2U2 group (India, Israel, USA, UAE), focusing on economic and space collaboration with projects like food parks and space-based environmental tools.

Significance for India

• Defence & security: Israel is a reliable partner for critical technologies for India and can be instrumental in India’s Self Reliance and Make in India.
• Agriculture & water: Israel is known for its model of innovation, water conservation, and high-yield farming, India can adopt these technologies with collaboration.
• Geopolitics: It is an important strategic partner for India in West Asia that complements India’s Act West policy.

Way Ahead

• The visit is being widely viewed as a milestone moment in India-Israel relations, underscoring growing strategic trust, deepening economic cooperation.
• It is seen as transforming long-standing ties into a forward-leaning, multidimensional strategic alliance with implications for security, economic growth, and global diplomacy.

Source: TH