The New Era of India-Iran Relations

May 07, 2016 | 05:36 PM | 3 Views
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Continuing its engagement with the Middle-East, the Prime Minister of India is set to visit Iran on May 21. During their meeting in Ufa, Russia, Iranian President, Hassan Rouhani had invited his Indian counterpart to Iran.

Iran has always been the prism through which India's relations with the Middle-East, and at times with the US as well have been seen. This will be a new step in India – Iran relations which have recently seen a paradigm shift.

India has always tried to maintain a balance between its relations with Iran and US, especially after the Khomeini revolution of 1979. Though in 2006, India voted to refer Iran to the UN Security Council, it seems to have taken a new path now. This is also in the backdrop of US opening up its diplomatic ties with Iran and lifting the sanctions imposed after the revolution of 1979.

Even though India continued to trade with Iran, especially in crude oil while the sanctions were imposed, the visit of the prime minister could be a new start for the diplomatic ties between New Delhi and Tehran.

Among the list of meetings scheduled, of supreme importance is Modi's meeting with the Supreme Leader of Iran, Ayatollah Khomeini, given the fact that Khomeini doesn't meet all the leaders of the world.

Following the lifting of sanctions, a huge flow of investments to Iran has been seen, with key players including Japan, China & the US. Aiming at strengthening the ties with Iran, India has already lined up investments worth US$ 20 billion in oil & gas, petrochemical and fertilizer sectors in Iran.

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