It’s not often that Indian prime ministers go to the airport to receive their visiting counterparts. And when they do it’s usually for a visitor from a major power like the US, France or Japan. That being so, this gesture being extended to the Amir of Qatar Sheikh Tamim bin Hamad Al Thani by Narendra Modi is a standout one. Qatar is a tiny emirate in the Persian/Arabian Gulf with a population that is just a fraction of Delhi’s.
But Qatar not only has the second largest reserves of natural gas in the world after Russia, it has also emerged as a hub of strategic, military, diplomatic and political activities in the region. Indeed, it is to the Middle East what Switzerland is to the world: a tiny country of great importance and significance that can exert a lot of influence on the region. The fact that one of the most watched TV channels in the world is also owned by Qatar adds to its global reach. Qatar has the gas, the money and a strategic location. It has become a mediator in global conflicts, such as between Israel and Hamas and US and Taliban. Add the fact that a very large US naval base is in Qatar and it is clear that here’s a country with whom excellent relations are not just a matter of convenience but also necessity. India can hope to leverage Qatar’s connections with the Taliban and Iran to push its own interests. It’s not surprising then that the two countries have decided to upgrade ties to a strategic partnership.
As for the trade and economic profile, there is considerable promise on the horizon including a possible Comprehensive Economic Partnership Agreement that aims to double bilateral trade to around $30 billion in the next five years. India runs a trade deficit of about $10 billion, as liquefied natural gas imports account for 85 per cent of total imports. It gets half its supplies of LNG from Qatar. Last February, the two countries entered into a 20-year agreement for the supply of LNG, a deal worth $78 billion. Qatar has also invested around $1.5 billion in India so far in infrastructure, telecom and retail and has committed to invest $10 billion more. India is right in pursuing greater and deeper ties with Qatar, not least because there are around 800,000 Indians working there. That’s nearly a quarter of the total population of Qatar. Indian workers have not always been treated very well or kindly in Qatar but that is changing now at India’s unrelenting insistence. Most recently, there was the alarming episode involving nine Indian persons who were arrested for espionage. But, to the two countries’ credit, that was settled quietly with diplomacy leading to release of eight of them.
Qatar, however, is not quite loved by its closest neighbours. Qatar’s alleged links with Muslim extremist groups has been a subject of friction and controversy, leading to a diplomatic and economic blockade by Saudi Arabia, UAE, Bahrain and Egypt between 2017 and 2021. Qatar was able to restore normalcy in a few years. India, as always, had remained carefully neutral in that kerfuffle. This approach will prove highly useful in the years to come.