Delhi-Doha Ties Evolve Beyond Energy Trade

India and Qatar are crafting a multifaceted strategic partnership that includes security and defence cooperation, health care and education

- Ausaf Sayeed

The recent visit of Sheikh Tamim bin Hamad Al Thani, the Amir of Qatar, to India marks a momentous chapter in bilateral relations between the two countries.

The visit underlined their deepening strategic partnership, propelled by shared economic interests, converging geopolitical perspectives, and a mutual desire for regional stability.

While historically anchored in energy cooperation, the India-Qatar relationship has evolved beyond a transactional energy dependency into a multifaceted strategic partnership encompassing security and defence cooperation, trade, investments, energy, technology, and vital sectors like health care, education, and workforce. Qatar has joined the UAE, Saudi Arabia, Oman, and Kuwait in establishing a strategic partnership with India.

Qatar has been India's largest LNG supplier for decades, accounting for over 48% of its global LNG imports. This partnership has formed the backbone of India's energy security strategy, ensuring access to stable and affordable energy supplies while providing Qatar with a large and assured market that is growing exponentially. According to the International Energy Agency (IEA), India's demand for LNG is set to rise significantly by 78% to 64 billion cubic meters of natural gas equivalent by 2030.

This aligns with India's goal of increasing natural gas's share in its energy mix to 15% by 2030, up from around 6% in 2023.

As India's economy surges and its energy demand escalates to meet its developmental targets under Viksit Bharat, Qatar's role as a dependable energy partner becomes even more critical. In February 2024, India secured a favourable long-term agreement with Qatar to import 7.5 million tonnes of LNG annually for two decades at a total cost of $78 billion. This deal is projected to save India an estimated $6 billion.