India Israel Trade

Recent Trends & developments

• On June 23, 2026, India and Israel identified new joint defence projects under their Special Strategic Partnership, focusing on co-development, co-production and advanced defence technologies. The initiative marks a significant step in strengthening bilateral strategic resilience, boosting India's defence manufacturing capabilities and expanding long-term security cooperation.
• On February 26, 2026, India and Israel elevated bilateral cooperation by signing multiple agreements covering AI-enabled mineral exploration, UPI-based cross-border payments, agricultural innovation, fisheries, financial services, maritime heritage and strategic foresight. These initiatives strengthen technology collaboration, innovation, sustainable development and economic ties, reinforcing the countries' strategic partnership.
• In January 2026, India and Israel signed a Joint Ministerial Declaration of Intent during the Second Global Summit on “Blue Food Security: Sea the Future 2026” in Eilat, Israel. The declaration commits both countries to strengthen cooperation in fisheries and aquaculture, including joint R&D in advanced technologies such as recirculating aquaculture systems, broodstock development, seaweed cultivation, water management technologies and blue economy innovation, with an emphasis on sustainable practices and capacity building.
• On 4 November 2025, during the 17th India-Israel Joint Working Group (JWG) meeting on Defence Cooperation held in Tel Aviv, both sides signed a Memorandum of Understanding (MoU) to deepen defence ties. The agreement provides a unified vision for expanding collaboration in strategic dialogues, training, defence industrial cooperation, science & technology, R&D, artificial intelligence and cyber security, and will enable sharing of advanced technologies and promote co-development and co-production of defence systems.
• Also in November 2025, the new defence cooperation MoU was further highlighted as a strategic milestone underscoring mutual trust and shared security interests, with both countries reaffirming joint initiatives in advanced technology, industrial cooperation and support for enhanced operational capabilities.
• On 8 September 2025, India and Israel signed a Bilateral Investment Treaty (BIT) in New Delhi. The treaty, signed by India’s Finance Minister Ms. Nirmala Sitharaman and Israel’s Finance Minister Mr. Bezalel Smotrich, is aimed at boosting bilateral investments by providing investor protection, transparency, minimum treatment standards and independent arbitration mechanisms. This agreement further strengthens economic cooperation and lays groundwork for potential future frameworks to enhance trade and investments.
• Following the investment treaty, senior officials from both countries emphasised that the BIT reinforces commitments to economic engagement and enhances investor confidence in mutual markets, reflecting deeper strategic economic relations.
• In September 2025, media reports described the BIT as a significant step towards deeper economic and strategic relations and as part of broader cooperation that could support future Free Trade Agreement (FTA) discussions between India and Israel.
• In April 2025, India and Israel signed a landmark agriculture agreement aimed at boosting bilateral agricultural cooperation and food security, and modernising farming practices. The deal was signed during Israel's Agriculture Minister Mr. Avi Dichter's visit to India. The deal focusses on a range of crucial areas, including soil and water management, horticultural and agricultural production, post-harvest and processing technology, agriculture mechanization, animal husbandry, and research and development. Both nations have committed to expanding their collaboration through joint efforts aimed at enhancing agricultural productivity and sustainability.
• In February 2025, at the India-Israel Business Summit, Ambassador Mr. Reuven Azar announced plans to boost Indian company participation in Israeli infrastructure projects by developing a specialized protocol for tenders. He also proposed a mutual investment agreement, expected to be signed in March, followed by further financial cooperation in May. The major focus of the summit was the removal of trade barriers, including reducing tariffs and improving digital customs connectivity, to enhance bilateral business opportunities. The event, organized with India’s DPIIT and CII, featured Israel’s largest-ever business delegation to any country, facilitating over 500 meetings between Indian and Israeli firms across defence, renewables, agriculture, and AI.
• On December 3, 2024, Israeli Industry Minister Mr. Nir Barkat met India’s Union Minister of State for Science and Technology, Dr. Jitendra Singh. to discuss partnerships in quantum tech, space, AI, semiconductors, and biotechnology. India invited Israeli startups to co-develop innovations under the National Quantum Mission and space initiatives. Both highlighted mutual strengths India’s scale and talent with Israel’s innovation for collaborations in agriculture, health, and strategic technologies, fostering global leadership.
• Under a comprehensive work plan for cooperation in agriculture signed on May 10, 2006, bilateral projects are implemented through MASHAV (Center for International Cooperation of Israel’s Ministry of Foreign Affairs) and CINADCO (Centre for International Agricultural Development Cooperation of Israel’s Ministry of Agriculture and Rural Development). Agricultural cooperation between the two sides is formalized through three-year action plans. The two countries are currently implementing the fifth phase of the joint action plan (2021-23).