Prime Minister Narendra Modi’s brief but high-stakes visit to the United Arab Emirates on Friday resulted in a series of strategic agreements spanning energy security, defence cooperation, maritime infrastructure, artificial intelligence, and investments, as India seeks to shield itself from growing uncertainty in West Asia amid the ongoing regional crisis.
The visit comes at a time when concerns over global energy supplies and shipping routes have intensified because of instability in the region. India, which imports more than 85 per cent of its crude oil requirements, has been closely monitoring developments that could affect fuel prices, supply chains, and maritime trade.
One of the key outcomes of the visit was a strategic collaboration agreement between Indian Strategic Petroleum Reserves Limited (ISPRL) and Abu Dhabi National Oil Company (ADNOC). The agreement aims to deepen cooperation on crude oil storage and strategic reserves.
Under the arrangement, ADNOC may store up to 30 million barrels of crude oil in India’s strategic petroleum reserve facilities, including at Visakhapatnam in Andhra Pradesh, while also participating in the development of reserve infrastructure at Chandikol in Odisha. The two sides will also explore storing crude oil in Fujairah in the UAE as part of India’s strategic reserves framework.
The agreement additionally opens avenues for cooperation in Liquefied Natural Gas (LNG) and Liquefied Petroleum Gas (LPG) storage infrastructure in India.
In another major energy-related outcome, Indian Oil Corporation Limited (IOCL) and ADNOC signed a strategic collaboration agreement to explore long-term LPG supply arrangements. Officials said the move is expected to strengthen India’s long-term energy security and ensure stable LPG availability amid volatile global energy markets.
The visit also marked a significant expansion in India-UAE defence ties. Both countries agreed on a Framework for the Strategic Defence Partnership that covers defence industrial collaboration, advanced technologies, training, interoperability, maritime security, cyber defence and secure communications.
The defence framework signals a broader shift in ties between New Delhi and Abu Dhabi, moving beyond traditional trade and energy cooperation into deeper strategic and security coordination.
Maritime cooperation also emerged as a major pillar of the visit. Cochin Shipyard Limited (CSL) and Drydocks World signed an agreement to establish a Ship Repair Cluster at Vadinar in Gujarat. The project will include offshore fabrication activities under India’s Maritime Development Fund Scheme and is expected to strengthen India’s ship repair and coastal infrastructure capabilities.
A separate tripartite agreement between CSL, Drydocks World and the Centre of Excellence in Maritime & Shipbuilding (CEMS) focuses on skill development in ship repair and shipbuilding. The initiative aims to train and mobilise a skilled maritime workforce while positioning India as a hub for shipbuilding and repair professionals.
The two countries also moved forward on technology collaboration with a term sheet signed between India’s Centre for Development of Advanced Computing (CDAC) and UAE-based G42 for setting up an 8 Exaflop supercomputing cluster. The project is expected to support India’s AI Mission and expand high-performance computing capabilities.
Apart from strategic agreements, the UAE announced investment commitments worth USD 5 billion for India. These include plans by Abu Dhabi Investment Authority (ADIA) and the National Infrastructure & Investment Fund (NIIF) to explore investments of up to USD 1 billion in India’s infrastructure sector.
Additionally, Emirates NBD announced plans to invest USD 3 billion in RBL Bank, while International Holding Company committed USD 1 billion in Sammaan Capital.
Prime Minister Modi described the visit as “extraordinarily fruitful” and said the agreements would provide fresh momentum to the India-UAE Comprehensive Strategic Partnership.
In a post on X, Modi said the agreements in sectors such as energy, defence, infrastructure, shipping and advanced technologies would deepen bilateral cooperation and contribute to growth and prosperity in both countries.
“The visit to the United Arab Emirates was brief, yet extraordinarily fruitful,” Modi said, adding that discussions with UAE President Sheikh Mohamed bin Zayed Al Nahyan focused on strengthening the comprehensive strategic partnership.
The agreements on oil storage, LPG supplies and maritime infrastructure are expected to provide India with greater resilience against future disruptions in energy and trade routes. |
