{"id":34288,"date":"2024-12-26T17:43:44","date_gmt":"2024-12-26T12:13:44","guid":{"rendered":"https:\/\/www.nextias.com\/ca\/?p=34288"},"modified":"2024-12-26T17:43:46","modified_gmt":"2024-12-26T12:13:46","slug":"india-saudi-arabia-exploring-joint-ventures-in-defence-sector","status":"publish","type":"post","link":"https:\/\/www.nextias.com\/ca\/current-affairs\/26-12-2024\/india-saudi-arabia-exploring-joint-ventures-in-defence-sector","title":{"rendered":"India-Saudi Arabia Exploring Joint Ventures in Defence Sector"},"content":{"rendered":"\n<p><strong>Syllabus: GS2\/ International Relations<\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Context<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>India and Saudi Arabia are enhancing defence cooperation by focusing on joint ventures and industrial collaboration to localise defence production.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>India Saudi Defence collaboration<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>India and Saudi Arabia are focusing on strengthening defence ties to achieve self-reliance and mutual growth in defence manufacturing.<\/li>\n\n\n\n<li><strong>Common goals: <\/strong>Saudi Arabia aims to localise 50% of its defence spending under Vision 2030, aligning with India&#8217;s Make in India initiative.<\/li>\n\n\n\n<li><strong>Saudi Arabia signed a $250 mn contract<\/strong> for ammunition from Munitions India Limited, a Defence Public Sector Undertaking.<\/li>\n\n\n\n<li>Saudi Arabia has procured the <strong>155mm Advanced Towed Artillery Gun System (ATAGS)<\/strong> from Bharat Forge.\u00a0<\/li>\n\n\n\n<li><strong>Joint exercises:<\/strong>\n<ul class=\"wp-block-list\">\n<li><strong>Sada Tanseeq:<\/strong> The inaugural Army exercise held in Rajasthan in January 2024.<\/li>\n\n\n\n<li><strong>Tarang Shakti:<\/strong> Saudi Arabia participated as an observer in India\u2019s largest air exercise.<\/li>\n\n\n\n<li><strong>Al Mohed Al Hindi:<\/strong> Bilateral naval exercise initiated in 2022.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>India Saudi Arabia Relations<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Political Relations: <\/strong>The two countries established diplomatic relations in <strong>1947.\u00a0<\/strong>\n<ul class=\"wp-block-list\">\n<li>The royal visit of 2006 resulted in the signing of the <strong>Delhi Declaration,<\/strong> which was followed in 2010 by the <strong>Riyadh Declaration<\/strong> that elevated bilateral ties to a strategic partnership.<\/li>\n\n\n\n<li><strong>The Strategic Partnership Council (SPC) Agreement<\/strong> was signed during the <strong>2019<\/strong> visit of the Indian PM to Riyadh, which established a high-level council to steer the Indo-Saudi relationship.\u00a0<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Economic Relations:<\/strong> India is Saudi Arabia\u2019s second-largest trade partner; Saudi Arabia is India\u2019s fourth-largest trade partner.\n<ul class=\"wp-block-list\">\n<li>The bilateral trade between the partners stood at <strong>$43.3 billion in 2023-24<\/strong>. Saudi\u2019s direct investments in India amounted to <strong>$3.15 billion<\/strong> (as of March 2022).<\/li>\n\n\n\n<li>There were 2,783 Indian companies registered as joint ventures\/ 100% owned entities with investments worth approximately $2 billion in the kingdom. (As of January 2022)<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Energy Cooperation: <\/strong>Saudi Arabia was India&#8217;s <strong>third largest <\/strong>crude and petroleum products source for <strong>FY23.\u00a0<\/strong>\n<ul class=\"wp-block-list\">\n<li>India imported <strong>39.5 million metric tonnes (MMT)<\/strong> of crude from the country in FY23, amounting to <strong>16.7% <\/strong>of India\u2019s total crude imports.<\/li>\n\n\n\n<li>India\u2019s LPG imports from Saudi Arabia stood at<strong> 7.85 MMT,<\/strong> and<strong> 11.2% <\/strong>of its total petroleum product imports, in FY 23.<\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><strong>Indian diaspora:<\/strong> As of 2023, there were <strong>2.6 million<\/strong> Indians in Saudi Arabia. This is the second largest number of foreign workers in the country, after Bangladesh.\u00a0<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Future Outlook\u00a0<\/strong><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The shared aspiration to reduce dependence on defence imports and boost local production presents significant opportunities for both nations.\u00a0<\/li>\n\n\n\n<li>Joint ventures and collaboration in <strong>cutting-edge technologies such as AI and cybersecurity<\/strong> can enhance strategic autonomy.<\/li>\n\n\n\n<li>By aligning their goals under <strong>Vision 2030 and Make in India, India<\/strong> and Saudi Arabia can emerge as pivotal partners in shaping the global defence landscape.<\/li>\n\n\n\n<li>Continued collaboration is essential to ensure Indian workers&#8217; success in Saudi Arabia, contributing to greater economic stability and development for both countries.<\/li>\n<\/ul>\n\n\n\n<p><strong>Source: <\/strong><a href=\"https:\/\/www.thehindu.com\/news\/national\/india-saudi-arabia-exploring-joint-ventures-in-defence-sector\/article69026734.ece#:~:text=The%20two%20Navies%20have%20a,guns%20\" target=\"_blank\" rel=\"noopener\"><strong>TH<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>India and Saudi Arabia are enhancing defence cooperation by focusing on joint ventures and industrial collaboration to localise defence production.<\/p>\n","protected":false},"author":15,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-34288","post","type-post","status-publish","format-standard","hentry","category-current-affairs"],"acf":[],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/34288","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/users\/15"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/comments?post=34288"}],"version-history":[{"count":1,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/34288\/revisions"}],"predecessor-version":[{"id":34289,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/34288\/revisions\/34289"}],"wp:attachment":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/media?parent=34288"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/categories?post=34288"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/tags?post=34288"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}