Winds of Shared Prosperity: Unlocking the next decade of Indo-Arab trade and partnership

July 2023 | Arab & Israel

The report explores the historic and cultural ties between India and the Arab countries, and the opportunities for enhancing trade, investment, and cooperation in various sectors. The report covers the following themes:

Trade relations: India and the Arab countries have a long history of trade, which has been boosted by the presence of a large Indian diaspora in the region. The report highlights the potential for further growth in bilateral trade, especially in sectors such as healthcare, pharmaceuticals, agriculture, food processing, and infrastructure.

Healthcare and pharmaceuticals: India is a major exporter of generic drugs and medical devices to the Arab countries, and also a destination for medical tourism from the region. The report discusses the opportunities for knowledge sharing, digital innovation, and easing of processes to facilitate healthcare cooperation.

Agriculture and food processing: India and the Arab countries have complementary strengths in this sector, with India being a major producer and exporter of food products, and the Arab countries being net importers of food. The report identifies the investment opportunities in cold chain infrastructure, agritech, fisheries, and CEPA agreements to boost agri-exports and development.

Travel and tourism: India and the Arab countries share a rich cultural heritage and a mutual interest in tourism. The report examines the trends and challenges in this sector, and the scope for collaboration in areas such as visa facilitation, air connectivity, promotion of niche segments, and skill development.

Education and skill development: India and the Arab countries have a young and aspirational population that can benefit from educational and skill development opportunities. The report analyses the potential for cooperation in areas such as student mobility, online education, vocational training, research collaboration, and academic partnerships.

Infrastructure and logistics: India and the Arab countries have ambitious plans to develop their infrastructure and logistics sectors, which offer immense opportunities for collaboration. The report explores the possibilities for utilising India's railway building expertise in the Arab region, attracting investments from the Arab countries into India's NIIF, and enhancing connectivity through ports, airports, and roads.

Sustainable energy: India and the Arab countries are committed to pursuing clean and renewable energy sources to meet their growing energy needs. The report highlights the opportunities for Indian solar industry in the Arab region, and the emerging areas of cooperation in sustainability such as green hydrogen, carbon capture, and circular economy.

Digitalisation and technology: India and the Arab countries are witnessing a digital transformation that is creating new avenues for growth and innovation. The report showcases the development of digital public infrastructure in India, the growing IT exports from India to the Arab region, and the potential for leveraging e-commerce for trade expansion.

Manufacturing and retail: India and the Arab countries have a strong potential to enhance their manufacturing and retail sectors through joint ventures, technology transfer, market access, and quality standards. The report outlines the prospects for cooperation in sectors such as textiles, gems and jewellery, automobiles, electronics, chemicals, and consumer goods.

Start-up ecosystem: India and the Arab countries have vibrant and dynamic startup ecosystems that can benefit from mutual collaboration. The report identifies the investment opportunities in India's start-ups from the Arab region, and the opportunities for Indian startups to enter or scale up in the Arab markets.

The report concludes with a vision for a prosperous future for India-Arab relations based on mutual trust, respect, understanding, and partnership.

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