Gulf-India relations get fresh energy boost

The foundation of relations between the Gulf Cooperation Council (GCC) countries and India are strong enough given the historic links, presence of about four million Indians in the region, about $5bn in annual remittance and a potential $15bn-plus trade bill in 2005. Though both are beginning to see eye-to-eye politically as well, trade will remain the bedrock of their bilateral ties.

The crux of the new oil diplomacy rests on promoting cooperation between importers and exporters of oil.

It is likely that the Indian drive to secure energy supplies is likely to intensify raising concern among some countries. For those who sense a threat, the Indian petroleum minister says: “We are merely consolidating our position in the global oil economy, just as the West in its time consolidated its position. I hope this initiative will be seen as the rise of an equal partner whose only interest is global cooperation for everyone’s benefit.”

The Peninsula