Monday saw the signing of four significant agreements between India and the United Arab Emirates that will facilitate the storage of crude oil, the supply of LNG from loterm, and collaboration in the civil nuclear energy sector. The discussions were centred on strengthening overall strategic ties between Prime Minister Narendra Modi and Abu Dhabi Crown Prince Sheikh Khaled bin Mohamed bin Zayed Al Nahyan.
According to the Ministry of External Affairs (MEA), during their talks, the two leaders emphasised the importance of investigating new, unexplored regions, especially in nuclear energy, vital minerals, green hydrogen, artificial intelligence, and cutting-edge technology.
Among the four agreements are one between Abu Dhabi National Oil Company (ADNOC) and India Strategic Petroleum Reserve Ltd (ISPRL) for the loterm supply of one million metric tonnes of LNG (liquefied natural gas) to the Indian Oil Corporation Ltd annually, according to the MEA.
A deal signed by Emirates Nuclear Energy Company (ENEC) and Nuclear Power Corporation of India Ltd (NPCIL) is anticipated to strengthen collaboration in the management and upkeep of nuclear power facilities, as well as the sourcing of nuclear supplies and services from India. It will also offer a platform for investigating chances for cooperative investment and capacity expansion in the field of civil nuclear power.
The production concession deal between Urja Bharat and ADNOC for Abu Dhabi onshore block one is the fourth agreement. The government of Gujarat and the Abu Dhabi Developmental Holding Company PJSC signed a separate agreement for the establishment of food parks in India.
This contract is the third of its kind to be inked in less than a year, and it is for the loterm supply of LNG for one million metric tonnes per annum (MMTPA). Prior loterm deals for 1.2 MMTPA and 0.5 MMTPA, respectively, had been inked by IOCL and GAIL with ADNOC.
According to the MEA, the Memorandum of Understanding (MoU) between ADNOC and ISPRL calls for the renewal of their storage and management agreement on mutually agreeable terms and circumstances as well as ADNOC’s exploration of potential participation in new opportunities for oil storage in India.
According to the statement, this MoU expands on ADNOC’s 2018 participation in crude storage in ISPRL’s Mangalore Cavern.
The first production concession agreement for an Indian business operating in the United Arab Emirates was signed by Urja Bharat, a joint venture between IOCL and Bharat PetroResources Ltd, and ADNOC for Abu Dhabi Onshore Block 1.
According to the MEA, the concession gives Urja Bharat the right to transport crude oil into India, enhancing the nation’s energy security.
With an eye on starting the project in the second quarter of 2025, the Memorandum of Understanding on food parks expresses ADQ’s interest in developing Gundanpara in Bavla, Ahmedabad, as a highly promising site for this ambitious project.
After arriving here on Sunday, the Crown Prince will go to Mumbai on Tuesday to take part in an India-UAE business roundtable.
According to the MEA, a soft launch marking the start of construction on the India-UAE virtual trade corridor will occur in Mumbai on Tuesday.
According to a statement from the MEA, Modi and Al Nahyan talked about possibilities to further strengthen the ties in all sectors of bilateral cooperation while expressing satisfaction over the “substantial progress” made in the last several years in the India-UAE Comprehensive Strategic Partnership.
“They acknowledged that the success of the Comprehensive Economic Partnership Agreement (CEPA) and the recent entry into force of the Bilateral Investment Treaty (BIT) will provide further impetus to the strong economic and commercial partnership between the two countries,” it said.
According to MEA spokesman Randhir Jaiswal, PM Modi and Crown Prince Al Nahyan talked about the UAE and India’s diverse relationship with the goal of expanding the strategic alliance.
According to a readout from the UAE side, the Modi-Al Nahyan meeting also covered the historical relationship and collaboration between the UAE and India in all major areas, as well as the views of the two nations on a number of issues of shared interest.
According to the statement, the UAE-India Comprehensive Economic Partnership Agreement (CEPA) had other significant agreements that were announced during the meeting.
To encourage the use of the Indian Rupee and the United Arab Emirates Dirham (AED) for cross-border transactions, both nations signed the CEPA in February 2022 and the Local Currency Settlement (LCS) System in July 2023.
Following their discussions with Modi, the visiting leader honoured Mahatma Gandhi at his grave at Rajghat.
He became the third-generation leader from the UAE to plant a sapling at Rajghat, following Sheikh Zayed bin Sultan Al Nahyan, former President of the UAE in 1992; and Sheikh Mohamed Bin Zayed Al Nahyan, President of the UAE in 2016.
“This was a unique and rare occasion, showcasing the generational continuity of the strong relationship between the two countries,” the MEA said.
“This is the first time in the history of Rajghat that leaders from three generations of a country have planted trees honouring the Mahatma,” it said.
Modi and Al Nahyan are reported to have discussed urgent international issues, such as the Gaza conflict, during their discussions.
In the past few years, there has been a significant improvement in India-UAE relations.
After Modi’s historic August 2015 visit to the United Arab Emirates, bilateral ties between the two nations were upgraded to a Comprehensive Strategic Partnership.
The Indian community, which is home to almost 3.5 million people, is the largest expat population in the United Arab Emirates.
