NEW DELHI: India and Kuwait upgraded bilateral ties to a strategic partnership on Sunday as their leaders eye stronger cooperation in “key sectors” ranging from pharmaceuticals to security.

Indian Prime Minister Narendra Modi signed a strategic partnership agreement with Emir of Kuwait Sheikh Mishal Al-Ahmad Al-Jaber Al-Sabah during his trip to the Gulf state, the first visit by an Indian leader in 43 years.

“We have elevated our partnership to a strategic one and I am optimistic that our friendship will flourish even more in the times to come,” Modi said in a statement.

“We discussed cooperation in key sectors like pharmaceuticals, IT, fintech, infrastructure and security.”

During the trip, the Kuwaiti emir presented Modi with the Order of Mubarak Al-Kabeer for his efforts in strengthening Kuwait-India relations.

The order is the highest civilian honor in Kuwait and is bestowed upon leaders and heads of state.

The emir said India was a “valued partner” in the country and the Gulf region and that he “looked forward” to India playing a greater role in the realization of Kuwait Vision 2035, according to a statement issued by the Indian Ministry of External Affairs.

The newly upgraded ties will open up “further cooperation in sectors such as defense … with the Kuwaiti armed forces,” especially the navy, said Kabir Taneja, a deputy director and fellow with the strategic studies program at the Observer Research Foundation in New Delhi.

Their closer cooperation in major sectors will also “further India’s economy-first agenda,” he added.  

“Pharmaceuticals, for example, is a point of strength of Indian manufacturing and can contribute to further building the sector in states such as Kuwait,” Taneja told Arab News.

India’s pharmaceutical exports have been growing in recent years, and the country was the third-largest drugmaker by volume in 2023.

Delhi is also among Kuwait’s top trade partners, with bilateral trade valued at around $10.4 billion in 2023-24.

Taneja said India-Kuwait ties are also likely to strengthen through the Indian diaspora, the largest expatriate community in the Gulf state.

Over 1 million Indian nationals live and work in Kuwait, making up about 21 percent of its 4.3 million population and 30 percent of its workforce.

“(The) Indian diaspora has been part of the Kuwaiti story for a long time,” Taneja said, adding that strengthening ties between the two countries will allow India, through its diaspora, to unlock “deeper economic cooperation potential.”