Daily Current Affairs : 12-September-2023

In a landmark development in international relations, India’s Prime Minister, Narendra Modi, and Saudi Arabia’s Crown Prince, Mohammed bin Salman Al Saud, co-chaired the first-ever summit-level meeting of the India-Saudi Arabia Strategic Partnership Council (SPC). This historic meeting, which took place during the Crown Prince’s daylong State Visit to India following the G20 Summit, signifies the deepening ties between the two nations. This essay explores the significance of this partnership, its key outcomes, and the historical context of India-Saudi Arabia bilateral relations.

The India-Saudi Arabia Strategic Partnership Council (SPC)

The establishment of the India-Saudi Arabia Strategic Partnership Council (SPC) dates back to October 2019 when Prime Minister Modi visited Saudi Arabia. This council serves as a pivotal framework to steer and enhance the bilateral relationship between India and Saudi Arabia. It comprises two primary pillars:

  1. Committee on Political, Security, Social, and Cultural Cooperation: This committee focuses on various aspects of political, security, social, and cultural cooperation between India and Saudi Arabia.
  2. Committee on Economy and Investments: Dedicated to economic and investment-related matters, this committee aims to foster economic collaboration.

At operational levels, these committees function at four key levels:

  • Summit Level: This highest level involves discussions and decisions between the Prime Minister of India and the Crown Prince of Saudi Arabia.
  • Ministerial-Level: Includes discussions and coordination among relevant ministers from both countries.
  • Senior Officials’ Meetings: Senior officials from both sides convene to discuss and plan cooperation.
  • Joint Working Groups (JWGs): Specialized working groups focus on specific areas of cooperation, facilitating practical collaboration.
Key Outcomes of Recent Meeting

Several significant outcomes emerged from the recent meeting between India and Saudi Arabia:

  • West Coast Refinery Project: The decision to expedite the implementation of the $50-billion West Coast refinery project was a highlight. This project involves the construction of a massive 60 million tonnes refinery-cum-petrochemical complex on the Maharashtra coast, promising economic growth and energy security for India.
  • Areas for Intensified Cooperation: The two nations identified key areas for intensified cooperation, including energy, defense, semiconductor, and space. Additionally, collaboration in security, education, technology, transportation, healthcare, tourism, and culture was highlighted, emphasizing the multifaceted nature of their partnership.
  • Comprehensive Energy Partnership: Both India and Saudi Arabia agreed to diversify their existing hydrocarbons relationship into a comprehensive energy partnership, reflecting a commitment to sustainability and energy security.
  • Pacts Signed: During the meeting, eight pacts were signed to boost cooperation in various areas, including digitization and investment, further solidifying the partnership’s breadth.
The Indian Community in Saudi Arabia

The Indian community in Saudi Arabia is a significant aspect of the bilateral relationship:

  • Size and Significance: With approximately 2.2 million Indians in Saudi Arabia, this community constitutes the largest expatriate group in the Kingdom.
  • Economic Contribution: Indians contribute significantly to Saudi Arabia’s economic growth, making up around 7% of the country’s population.
  • Integration of Migration Systems: The integration of India’s e-Migrate system with Saudi Arabia’s e-Thawtheeq system aims to streamline labor mobility, making it more efficient for workers to migrate between the two countries.
  • Hajj Pilgrimage: The annual Hajj pilgrimage holds immense cultural and religious importance in Indo-Saudi relations. The increase in India’s Hajj quota in 2019 strengthened the ties further, allowing 200,000 Indians to perform Hajj, fostering cultural connections.
India-Saudi Arabia Bilateral Relations

India and Saudi Arabia have a rich history of bilateral relations:

  • Historical Ties: The cordial and friendly relations between India and Saudi Arabia are rooted in centuries-old economic and socio-cultural connections.
  • Diplomatic Relations: Diplomatic relations were established in 1947, and high-level visits have strengthened ties over the years.
  • Recent Key Visits: Notable visits include the ‘Riyadh Declaration’ in 2010, elevating the bilateral relationship to a ‘Strategic Partnership,’ King Salman’s conferral of Saudi Arabia’s highest civilian honor on Prime Minister Modi in 2016, and Saudi Arabia’s commitment to invest approximately US$100 billion in India during Crown Prince Salman’s visit in 2019. The signing of the Strategic Partnership Council (SPC) Agreement in 2019 solidified the multifaceted relationship between the two nations.

Important Points:

India-Saudi Arabia Strategic Partnership Council (SPC):

  • Established in October 2019 during Prime Minister Modi’s visit to Saudi Arabia.
  • Framework for enhancing bilateral relations.
  • Two main pillars: Political, Security, Social, and Cultural Cooperation, and Economy and Investments.
  • Operates at four functional levels: Summit, Ministerial, Senior Officials’ Meetings, and Joint Working Groups.

Key Outcomes of Recent Meeting:

  • Expedited $50-billion West Coast refinery project.
  • Identified areas for intensified cooperation, including energy, defense, semiconductor, and space.
  • Commitment to a comprehensive energy partnership.
  • Signed eight pacts to boost cooperation in digitization and investment.

The Indian Community in Saudi Arabia:

  • Approximately 2.2 million Indians, the largest expatriate community.
  • Contribute significantly to Saudi Arabia’s economy.
  • Integration of migration systems for streamlined labor mobility.
  • Hajj pilgrimage strengthens cultural and religious ties.

India-Saudi Arabia Bilateral Relations:

  • Historical ties rooted in economic and socio-cultural connections.
  • Diplomatic relations established in 1947.
  • Key visits: Riyadh Declaration (2010), highest civilian honor (2016), US$100 billion investment commitment (2019).
  • Signing of the Strategic Partnership Council (SPC) Agreement in 2019 solidified the relationship.
Why In News

During their historic meeting, Saudi Arabia’s Crown Prince Mohammed bin Salman Al Saud and Prime Minister Modi co-chaired the inaugural summit-level gathering of the India-Saudi Arabia Strategic Partnership Council (SPC), marking a significant milestone in their bilateral relations. This high-profile summit took place as part of the Saudi Crown Prince’s daylong State Visit to India, following his participation in the G20 Summit, reinforcing the commitment of both nations to strengthen their strategic partnership.

MCQs about India-Saudi Arabia: A Growing Strategic Partnership

  1. What key outcome emerged from the recent meeting between India and Saudi Arabia?
    A. A commitment to building a space station.
    B. A decision to expedite a refinery project.
    C. A plan to launch a joint military operation.
    D. A pledge to start a new airline.
    Correct Answer: B. A decision to expedite a refinery project.
    Explanation: The one of the key outcomes of the recent meeting was the decision to expedite the implementation of the $50-billion West Coast refinery project.
  2. What is the significance of the Indian community in Saudi Arabia?
    A. They constitute the majority of the Saudi Arabian population.
    B. They have no significant economic impact.
    C. They are the largest expatriate community and contribute to Saudi Arabia’s economy.
    D. They are primarily involved in cultural exchanges.
    Correct Answer: C. They are the largest expatriate community and contribute to Saudi Arabia’s economy.
    Explanation: The Indian community in Saudi Arabia is approximately 2.2 million strong and plays a significant role in the country’s economic growth and development.
  3. What are the primary pillars of the India-Saudi Arabia Strategic Partnership Council (SPC)?
    A. Committee on Energy and Environment.
    B. Committee on Technology and Tourism.
    C. Committee on Political, Security, Social, and Cultural Cooperation, and Committee on Economy and Investments.
    D. Committee on Agriculture and Aviation.
    Correct Answer: C. Committee on Political, Security, Social, and Cultural Cooperation, and Committee on Economy and Investments.
    Explanation: The SPC comprises two primary pillars: the Committee on Political, Security, Social, and Cultural Cooperation and the Committee on Economy and Investments.

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