India and Uzbekistan are opening new areas of cooperation

India and Uzbekistan are opening up new areas of cooperation.

Diplomatic relations between Uzbekistan and India were established on March 18, 1992. In 2011, following the state visit of the first President of Uzbekistan, Islam Karimov, to India, the two sides announced the establishment of a strategic partnership.

In recent years, relations between the two countries have become more regular, and the economic agenda has gradually expanded from pharmaceuticals and trade to logistics, IT, energy and defense.

Shavkat Mirziyoyev's first state visit to India from September 30 to October 1, 2018, was a significant turning point in bilateral relations. Following its conclusion, the parties signed about 20 documents covering trade, investment, pharmaceuticals, tourism, agriculture, healthcare and science.

In January 2019, Shavkat Mirziyoyev met with Narendra Modi again — this time as a guest of honor at the large international investment summit “Vibrant Gujarat” in Gandhinagar. At that time, the parties discussed the practical implementation of the agreements of 2018.

In December 2020, a virtual summit of Mirziyoyev and Modi was held. For the Indian side, this was the first bilateral virtual summit with one of the Central Asian countries. Following its results, the leaders of the two states adopted a joint statement on the strong partnership between the countries and set the task of bringing the volume of mutual trade to $ 1 billion in the coming years.

In January 2022, the President of Uzbekistan participated in the first “India - Central Asia” summit, which was held in an online format. Mirziyoyev proposed to promote joint projects in the production of pharmaceutical products, train virologists, and develop a cooperation program in digital innovations, fintech, and blockchain technologies. At that time, the Uzbek leader also announced the start of the development of a transport corridor through the port of Chobahor, which will provide communication between Uzbekistan and India.

Shavkat Mirziyoyev and Narendra Modi have also been meeting regularly in other international arenas. The next meeting of the leaders was held in September 2022 in Samarkand within the framework of the SCO summit, where the parties considered issues of expanding strategic partnership.

In December 2023, they discussed the bilateral agenda within the framework of the Conference of the Parties to the UN Convention on Climate Change (COP28) in Dubai, and in October 2024 at the BRICS summit in Kazan. In August 2025, a telephone conversation took place.

The India-Uzbekistan Intergovernmental Commission on Trade and Economic, Scientific and Technological Cooperation is actively working - its 14th meeting was held on June 19 this year. The agenda included trade, investment, transport and logistics, IT, pharmaceuticals, healthcare, education, tourism, and regional security.

Trade remains an important driving force in bilateral relations. According to Uzbek statistics, India ranked ninth in the list of Uzbekistan's main trading partners at the end of 2025.

Last year, bilateral trade turnover increased by a third to $ 1.318 billion, and the dynamics over the eight-year period is even more significant - a four-fold increase was recorded.

The basis of trade turnover is the import of Indian products - medicines, auto parts, equipment and services ($ 1.153 billion). Over the past year, India has become the largest supplier of beef to Uzbekistan, and this country accounts for about half of this type of meat imported to the republic.

Fertilizers, services, jewelry, fruits and vegetables, and lubricants are usually exported from Uzbekistan.

The parties indicate an indicator of $ 2 billion as the next trade milestone. To achieve it, it is planned to expand mutual access to markets for goods, develop transport infrastructure and payment mechanisms.

Today, about 400 enterprises with Indian capital operate in Uzbekistan, and in 2025, the volume of foreign direct investments and loans attracted from India amounted to $ 247 million. In total, the total volume of investments and loans attracted from India during 2016-2025 reached $ 587 million.

According to the Ministry of Investments, Industry and Trade of Uzbekistan, Indian business is currently moving from studying the Uzbek market to making practical investments, and the total portfolio of joint projects exceeds $ 5 billion.

In recent years, digital technologies, healthcare, energy, mining and infrastructure have been added to the traditional pharmaceutical specialization. This is expanding the scope of Indian participation, but a significant part of large investment projects is still at the implementation or preparation stage.

Logistics is of great importance in expanding trade. Uzbekistan does not have direct access to the sea, and there is no direct land route to India. Therefore, Tashkent is considering several options for accessing the Indian market through Iran. In May 2024, the governments of India and Iran signed a long-term bilateral agreement on the management and development of the Iranian port of Chabahar. Its use by the Uzbek side is being discussed as a promising route for the delivery of Uzbek cargo to India and then to other markets in South Asia.

At the fourth meeting of the India-Central Asia Dialogue in June 2025, the ministers confirmed the need for more active use of the International North-South Transport Corridor (INSTC), in which great importance is attached to the port of Chabahar.

India, in particular, expressed its support for Uzbekistan's membership in the INSTC.

The joint statement adopted at the end of the dialogue specifically noted the need to increase direct and transit cargo traffic and improve financial connectivity. The parties are discussing digital payments, interbank mechanisms, and the use of national currencies.

Military cooperation is developing as a separate area. In 2019, the two countries established a joint working group on defense cooperation. Its fifth meeting was held in August 2025.

The main practical element is the joint military exercises "Friendship", which have been held alternately at the training grounds of the two countries since 2019. The exercises primarily focus on counter-terrorism operations, including the operations of units in mountainous and desert areas. The seventh exercise was held in April of this year at the "Gurumsaroy" training ground in the Namangan region.

Cooperation between defense industry structures is also developing separately. A delegation from the Uzbekistan Defense Industry Agency participated in the Aero India 2025 exhibition. The main focus is on the exchange of experiences, education, training, and contacts between defense agencies.