As early as the founding of the UAE, the late Shaikh Zayed Bin Sultan Al Nahyan recognised the strategic and economic importance of India for Gulf states in general and UAE in particular. He paid a historical visit to India during which he laid the foundation for special relations and planted the friendship tree, which has now become fruitful and brought good for both countries.

The trade exchange between them jumped from $200 million to $60 billion (from Dh734 million to Dh220 billion) in 2016, making India the UAE’s top trade partner.

Last week, His Highness Shaikh Mohammad Bin Zayed Al Nahyan, Abu Dhabi Crown Prince and Deputy Supreme Commander of the UAE Armed Forces, continued this approach with a visit to India as chief guest for the 68th Republic Day celebrations during which he was warmly welcomed, reflecting the high status he and the UAE occupy in India.

“A good tree can only produce good fruit” — this saying applies well to the first tree that promoted the UAE-Indian relations to unprecedented levels. However, the current tree planted by Shaikh Mohammad next to the first one means that the UAE-Indian relations would move ahead to a wider scope of strategic partnerships that would cope with changes in international relations.

Over the course of the past three decades, the UAE has gone through several significant transformations, making it one of the top economically, politically and militarily influential countries in the region.

It goes without saying that India today is not the same as it was during 70s or 80s. And as aspects of cooperation earlier focused on developing commercial and investment relations, Shaikh Mohammad’s visit means turning the partnership into a firmly established approach that would focus on significant issues, including investment in modern technologies and building institutions that are up to date in the age of information and renewable energy.

Great significance

A vivid example of that is India’s preparations to establish a liquefied natural gas (LNG) terminal in agreement with Abu Dhabi-based National Marine Dredging Company. This project is indeed of great significance to the Indian economy.

In addition, new technologies and the field of space have become the hallmark of cooperation thanks to the UAE’s interests in these two industries and the advances achieved by India in those fields.

The UAE-India strategic partnership has not been restricted only to the public sector but also includes the private sector.

About 30 Emirati businessmen and investors accompanied Shaikh Mohammad during his visit, meaning there would be real opportunities to develop and implement several joint ventures across various fields Therefore, Shaikh Mohammad’s visit is important and reflects his foresight as he said, “Our partnership is moving steadily towards the future.”

Last year, the size of the Indian overall economy exceeded Britain’s for the first time, meaning it is one of the top six economies in the world. Bear in mind that it achieves the highest annual growth rates globally.

Strategic importance

Shaikh Mohammad’s vision attaches extraordinary importance to the private sector to make it a major influencer in the international investment, especially in emerging countries such as India, which is of huge and strategic importance for the Gulf region.

This historical visit is expected to bring about new developments that would be in the interests of both countries. The trade exchange between them both is slated to increase by 60 per cent over the course of next four years to $100 billion.

This increase will be supported by joint ventures and private sector activities, and thus taking strategic partnerships to new high and empowering both states to overcome challenges facing the world at large, which is another characteristic of the visit.

Dr Mohammad Al Asoomi is a UAE economic expert and specialist in economic and social development in the UAE and the GCC countries.