Modi Strengthens India-Israel Strategic Partnership

India and Narendra Modi announced a major boost in defence, trade, and counter-terrorism cooperation during his rare visit to Israel, marking a significant step in strengthening bilateral ties.

Speaking at the Knesset in Tel Aviv, PM Modi described defence relations as an “important pillar” of the India-Israel partnership. This was his first visit to Israel in nine years.

PM Modi and Israeli Prime Minister Benjamin Netanyahu agreed to expand trade, increase investment flows, and promote joint infrastructure development. The Indian Prime Minister said that last year’s ceasefire in Gaza has created an opportunity for closer cooperation between the two nations.

“In today’s uncertain world, a strong defence partnership between trusted partners like India and Israel is of vital importance,” PM Modi said during his address.

Major Missile Deal Likely

According to officials familiar with the discussions, PM Modi is expected to finalize a major order for Israeli-made missile systems during the visit. However, specific details of the defence deal are unlikely to be made public, as both governments want to keep the focus on their broader strategic ties.

India’s Ministry of External Affairs has not officially commented on the potential missile agreement.

Israel has been one of India’s largest arms suppliers for decades. Over time, the defence partnership has evolved into joint manufacturing of equipment such as drones and missile systems.

Reuven Azar, Israel’s Ambassador to India, said both countries are working toward a deeper defence and security agreement that would allow cooperation on more sensitive projects.

Strong Political Understanding

PM Modi, who won a third consecutive term in 2024, has consistently supported Israel and shares a close personal relationship with Netanyahu. Despite global criticism over the humanitarian situation in Gaza, India has maintained balanced diplomatic ties while supporting peace efforts.

PM Modi also referred to the US-brokered Gaza peace plan, later endorsed by the United Nations, saying it offers hope for a just and durable peace, including addressing the Palestinian issue. However, the long-term future of the truce remains uncertain.

Regional Strategic Shift

India and Israel are strengthening ties at a time when regional alliances are shifting. Pakistan recently signed a defence pact with Saudi Arabia, and Turkey is reportedly seeking to join that alliance. These developments are seen as changing the regional power balance.

Michael Kugelman, senior fellow at the Atlantic Council, said both leaders view their countries as operating in “dangerous neighborhoods” threatened by Islamist militancy, and believe closer cooperation is necessary.

Trade and Economic Cooperation

Trade is another key focus of the visit. Israeli negotiators recently traveled to India to begin discussions on a free-trade agreement, following terms agreed in November.

India is Israel’s second-largest trading partner in Asia. Bilateral trade is estimated at around $5 billion in 2025, including goods, services, and diamonds, excluding defence.

India is also one of the largest buyers of Israeli defence equipment, accounting for about 34% of Israel’s total arms exports, according to the Stockholm International Peace Research Institute.

India-Middle East-Europe Corridor

Both leaders discussed the development of a maritime and land corridor connecting India to the port of Haifa in Israel and further to Europe. The project is part of the India-Middle East-Europe Economic Corridor (IMEC), announced in September 2023.

Despite the Israel-Hamas war, Israeli officials say the corridor remains viable. Israel’s Haifa port, partly acquired by India’s Adani Group, is expected to serve as a key Mediterranean endpoint of the project.

The visit highlights a growing India-Israel strategic partnership focused on defence strength, economic growth, and regional stability.