Insights Mind Maps: India - Israel Relations
Insights Mind Maps: India - Israel Relations
Insights Mind Maps: India - Israel Relations
General Studies – 2; Topic: Bilateral, regional and global groupings and agreements
involving India and/or affecting India’s interests
3) Recent Developments
"India-Israel Industrial R&D and Technological Innovation Fund” was concluded in July 2017 when
Prime Minister Narendra Modi visited Israel.
This will support high value-added R&D and enhance the knowledge base of Indian technology
industries.
The techno-economic collaboration is expected to increase significantly.
Israel will invest $68.6 million to boost cooperation with India in areas like tourism, technology,
agriculture and innovation over a period of four years.
India has been trying hard to balance its relationship with Israel with its support to the Palestinian
cause.
Israel seems to understand India’s position, which is a sign of maturity.
India and Israel are set to jointly develop new crop varieties and share post harvest technologies
following the success of the 10-year-old Indo-Israeli Agriculture Project (IIAP).
4) Economic Relations
Trade, technology and tourism are the three key areas in India-Israel economic relations.
Over the last 25 years, bilateral trade has increased from $200 million to more than $4 billion
(excluding defence) in 2016-17.
Given India’s large market and huge consumer base, the numbers are low compared to India’s
economic relations with other countries.
5) Defence Ties
India already has robust defence ties with Israel which is expected to strengthen further.
India is the largest arms buyer from Israel; trade is to the tune of approximately $600 million.
If defence ties keep increasing at the same rate, Israel may replace Russia as India’s largest arms
supplier.
Last year, India signed the biggest weapons deal in Israeli defence history, which is nearly $2 billion.
This will provide India with an advanced defence system of medium-range surface-to-air missiles,
launchers and communications technology.
7) Way Forward
The two sides must expedite talks on trade and investment in an effort to take bilateral ties to the
next level.
Need for a Free Trade Agreement (FTA) as well as a Bilateral Investment Treaty (BIT) at the
“earliest” in an effort to forge greater business-to-business ties.
India must provide greater market access especially in the farm sector, pharmaceuticals and
automobiles segments.
Together, the existing Indian and Israeli innovation ecosystem can create a global impact.
Israeli companies can join hands with India's manufacturing sectors to scale up the innovations.
Greater partnership in new R&D projects in India in areas like digital healthcare, agriculture and
water.
India can leverage its space technologies to Israel for its developmental purposes where India
enjoys upper hand.
India could well take a cue from how Israel maintains stringent external and internal security,
allowing Israeli settlements right up to the border of conflict zones.
Both need to cooperate to combat growing radicalisation and terrorism, including in cyber space.
Israel will be benefited from large pool of skilled Indian engineers and doctors as Mr. Netanyahu’s
quoted “Indian talent and Israeli technology equals India-Israel ties for tomorrow.”