Iran Fantasy, Arab Neglect

Context: Indo-Iran relationship stands in stark contrast to the perennial under-appreciation of India’s deeper and wider relationship with Arab Peninsula.

Factors Favouring India’s Relationship with Arabian Peninsula

• Historical connections, civilisational bonds, energy supplies and regional security. 
• Remittance inflow: from millions of Indian immigrants in the Arab nation.
• Density of commercial engagement: with the Arab Gulf outweigh the relationship with Iran.
• Support in countering terrorism and radical forces: to condemn India in the Muslim world.

• • • The UAE and Saudi Arabia have blocked attempts to condemn India in the Muslim world.

• Egypt, Saudi Arabia and the UAE are confronting radical forces in Arab region.

• Countering Chinese economic intrusion/action/ advances in the Arab world: as Arab region embraces China’s BRI and Digital silk road initiative.

• Push towards technological and energy independence: 

• The UAE launched the first home-grown Arab space mission from a Japanese rocket provides opportunities for India.

• Arab Nations push for alternative energy sources: provides a solid basis for elevating India’s economic partnership with the Arab world to the next level. 

Factors Restricting India’s Engagement with Iran 

• US sanctions regime: against Iran is restricting India’s Iran engagement.
• India gained an exemption from the US sanctions regime for Chabahar port project in Iran. 
• Iran’s nuclear confrontation with Non Proliferation Treaty: might adversely affect Indo-US nuclear deal of 2005.
• India’s commitment to prevent the proliferation of nuclear weapons is the precondition of Indo-US nuclear deal.
• Ideological character of the Iranian revolution: and the fears generated by Iran’s promise to export it to the Arab world. 
• Frequent internal/domestic rebellions: in Iran as a result of its decades-old Islamic order.
• Iran’s clerical regime: has cleavages of its own that complicate its global engagement. 

Conclusion: For India, the costs of neglecting the new possibilities for wide-ranging Arabian business are far higher than a lost railway contract in Iran.