Examining the Ties Between India and Azerbaijan: Challenges and Opportunities

Examining the Ties Between India and Azerbaijan: Challenges and Opportunities

The relationship between India and Azerbaijan has deep historical roots, tracing back to the days of the Silk Road when Indian traders traversed Azerbaijani lands. This ancient connection is symbolized by a monument near Baku, serving as a reminder of our shared past.

Today, our bilateral trade stands at $1.5 billion, a figure that, while impressive, barely scratches the surface of our true potential. With India being the third-largest buyer of Azerbaijani oil and the fourth-largest source of tourists to Azerbaijan, the foundation for a strategic partnership is already in place. However, realizing this potential requires navigating a complex web of regional geopolitics.

bilateral trade

The Strategic Imperative for Deeper Ties

India's engagement with Azerbaijan should not be viewed solely through the lens of trade. There are significant opportunities for collaboration in renewable energy, digital infrastructure, artificial intelligence, fintech, and defense. High-level visits between our countries' leaders would go a long way in strengthening diplomatic and strategic ties. A visit by Azerbaijan’s President to India or India’s Prime Minister to Baku could serve as a powerful signal of mutual commitment and pave the way for new avenues of cooperation.

However, a pressing issue that needs to be addressed is the concern within Azerbaijani society regarding India's defense ties with Armenia. The supply of advanced military technologies and weaponry to Armenia has raised eyebrows in Baku. While the exact scale of India's defense exports to Armenia remains undisclosed, it is important to place this in a broader context.

Armenia and India

Photo credit: IndiaTimes

India’s Defense Diplomacy: A Balanced Approach

India's defense trade is guided by a balanced and multi-aligned strategy. Just as Russia, India's largest defense supplier, sells weapons to both China and Pakistan, India engages in defense trade with multiple partners. This approach is not intended to undermine any specific country but to safeguard India's strategic interests in a multipolar world.

If Azerbaijan were to express interest in acquiring military equipment from India, there is no reason why New Delhi would not consider such a request, provided it aligns with mutual strategic interests. A pragmatic approach to defense cooperation could serve as a cornerstone for enhanced bilateral ties.

Addressing Security Concerns: A Path Forward

For India-Azerbaijan relations to reach their full potential, there needs to be a greater understanding of each other’s security concerns. From India’s perspective, one area of concern is Azerbaijan’s ties with Pakistan. Islamabad’s well-documented role as a hub for terrorism is a significant security challenge for New Delhi. Over half of the terrorists listed under the UN’s 1267 Committee originate from Pakistan, underscoring the gravity of this threat.

If Azerbaijan were to demonstrate greater sensitivity to India’s security concerns, particularly concerning Pakistan and terrorism, it could serve as a catalyst for deeper bilateral cooperation. Such an understanding could unlock new opportunities in trade, defense, education, and technology.

Looking Ahead: The Promise of a Strategic Partnership

India and Azerbaijan stand at a crossroads. Strengthening ties requires not only enhancing trade and economic cooperation but also building a robust strategic understanding that takes into account each other’s security concerns. High-level political engagements, coupled with a pragmatic approach to defense cooperation, could redefine India-Azerbaijan relations in a way that benefits both nations.

The potential for collaboration is immense, but it must be pursued with a clear-eyed understanding of the regional security dynamics. If both nations can align their strategic interests, a deeper partnership is not only possible but inevitable.

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The relationship between India and Azerbaijan has deep historical roots, tracing back to the days of the Silk Road when Indian traders traversed Azerbaijani lands. This ancient connection is symbolized by a monument near Baku, serving as a reminder of our shared past.