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COVER STORY JULY 03, 2026 | The Indian Eye 5

power generation, supporting the gov- Cooperation and Sustainability,”
ernment’s broader economic growth while the Energy Track focuses on
agenda. “Energy for All.”
Strategic diversification The grouping now comprises 11
members—Brazil, Russia, India, Chi-
ince sanctions halted Iranian na, South Africa, Saudi Arabia, the
imports in 2019, India has re- UAE, Egypt, Ethiopia, Indonesia and
Slied more heavily on suppliers Iran—representing nearly half the
such as Iraq, Saudi Arabia, Russia and world’s population and around 40 per
the UAE. Russia emerged as India’s cent of global GDP. For India, BRICS
largest supplier following the Ukraine provides an important multilateral fo-
conflict, offering discounted crude rum where cooperation with Iran can
that significantly reduced India’s im- continue even amid evolving geopolit-
port bill. However, policymakers have ical dynamics.
consistently argued that diversifica- Energy security remains one of
tion—not dependence on any single the organisation’s highest priorities,
supplier—is the cornerstone of India’s and Iran’s vast oil and gas reserves
energy security. Union Minister for Petroleum and Natural Gas Hardeep Singh Puri meets Iran Petroleum Minis- make it a significant participant. Pa-
A reopened Iranian market ter Mohsen Paknejad on the sidelines of the 11th BRICS Energy Ministers’ Meeting, New Delhi knejad also addressed the BRICS
would further strengthen that strat- on Thursday (@HardeepSPuri X/ANI Photo) Energy Ministers’ Meeting, outlining
egy. India would gain another major Iran’s positions on key challenges fac-
supplier capable of providing substan- major economies and an important where in the region. ing the global energy sector.
tial volumes while increasing flexibility long-term investment partner. A more stable US-Iran relation- Balancing diplomacy
during global supply disruptions. ship could also reshape regional geo-
Energy analysts note that diversi- Reduced strategic leverage for ew Delhi, however, is likely to
fied sourcing also improves resilience Pakistan politics in ways favourable to India. For proceed cautiously. India has
decades, Pakistan has benefited strate-
against geopolitical shocks, shipping erhaps the most significant stra- gically from its geography as an import- Ncarefully balanced its relations
disruptions or price spikes affecting tegic dividend would involve ant transit route linking South Asia, with Iran, the United States, Israel
individual producers. Pconnectivity. India has invest- Afghanistan and parts of West Asia. and the Gulf Arab states over the past
Beyond oil: broader economic ed heavily in Iran’s Chabahar Port, Greater utilisation of Iranian transport decade. Washington remains India’s
cooperation which provides access to Afghanistan corridors—especially Chabahar—re- most important strategic partner in
and Central Asia while bypassing Pa- duces India’s dependence on Pakistani areas ranging from defence and tech-
aknejad’s visit was not limited kistan. The project has faced repeated territory for regional connectivity. nology to trade and the Indo-Pacific.
to hydrocarbons.During meet- At the same time, Iran occupies
Additionally, closer India-Iran
Pings in New Delhi, both coun- uncertainty because of sanctions and ties could create new economic part- an important place in India’s regional
regional tensions.
tries discussed expanding bilateral A stable diplomatic environment nerships independent of Pakistan’s strategy because of geography, ener-
investment and exploring wider eco- could accelerate development of regional influence. While Islamabad gy resources and connectivity. Indian
nomic opportunities. Iran has repeat- Chabahar and improve integration is also seeking stronger relations with diplomacy has consistently sought to
edly signalled its willingness to deepen with the International North-South Tehran, India’s larger economy and en- maintain constructive relations with all
commercial engagement with India. Transport Corridor (INSTC), linking ergy requirements provide a broader sides while avoiding zero-sum choices.
Paknejad said discussions would cover India with Iran, the Caucasus, Russia foundation for long-term cooperation. If sanctions are eased through a nego-
bilateral issues as well as broader co- and Europe. For Indian exporters, tiated settlement, New Delhi would
operation in economic sectors. improved connectivity would reduce BRICS provides another platform gain greater room to expand coopera-
The Iranian Embassy also said the tion with Tehran without jeopardising
minister met Union Minister Mano- logistics costs while opening new mar- he diplomatic engagement also its broader strategic partnerships.
reflects the growing importance
kets across Eurasia.
har Lal on the sidelines of the BRICS The corridor also offers an al- Tof BRICS. India’s 2026 BRICS The emerging diplomatic open-
Energy Ministers’ Meeting, with both ternative to routes dominated by Pa- presidency has adopted the theme ing does not guarantee immediate
sides emphasising expanding bilateral kistan or affected by instability else- “Building for Resilience, Innovation, changes. Any long-term agreement
cooperation in the energy sector. between Washington and Tehran
The renewed diplomatic engage- would still require implementation,
ment extends beyond energy. Iranian verification and political support in
representative Mojtaba Khazaei re- both countries.
cently participated in the First BRICS For India, the potential benefits
MSME Forum in Agra, where mem- extend well beyond oil. Affordable
ber countries discussed strengthening energy, diversified imports, improved
small business ecosystems, expanding connectivity, stronger trade, enhanced
trade cooperation and sharing policy regional access and reduced depen-
experiences. Such exchanges suggest dence on routes influenced by Paki-
both countries are preparing for broad- stan together represent a strategic
er commercial engagement should opportunity that New Delhi has not
international conditions permit. enjoyed for several years.
Potential sectors include petro- If the current diplomatic momen-
chemicals, fertilisers, pharmaceuticals, tum translates into a lasting US-Iran
engineering goods, information tech- agreement, India could emerge as one
nology, agriculture and infrastructure. A large number of Iranian delegations have been to India in recent days to participate in of its biggest economic beneficiaries—
India has long viewed Iran as a gate- BRICS-related meetings and to interact with their Indian counterparts (X/Embassy of the Islam- strengthening both its energy security
way to Central Asia, while Tehran sees ic Republic of Iran in India/ANI Photo) and its long-term geopolitical position
India as one of Asia’s fastest-growing across West Asia and Eurasia.

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