The share of West Asia in India’s total imports has come down from nearly 30 per cent in FY14 to 20.24 per cent in FY26 (Apr-Jan), primarily due to a fall in energy imports from the region. Meanwhile, the share of West Asia in India’s exports has risen gradually since the pandemic, although it remains below the FY14 level. Chart 1
Almost 49 per cent of India’s crude oil was imported from West Asia in FY26 (Apr-Jan), down from 63.77 per cent in FY19. However, India’s dependence on West Asia for imports of precious stones jumped to 51.09 per cent in FY26 (Apr-Jan) from FY19. Chart 2
West Asia became a major market for India’s exports of precious stones, with its share in exports rising from 10 per cent in FY19 to over 26 per cent in FY26 (Apr-Jan). Meanwhile, the region’s share in India’s basmati rice exports reduced from 83.2 per cent in FY19 to 66.58 per cent in FY26 (Apr-Jan). Chart 3
With a cumulative equity foreign direct investment (FDI) of $25.3 billion, the United Arab Emirates has accounted for over 80 per cent of FDI equity flows coming into India from West Asia this century. Chart 4
The UAE, which also accounts for over 40 per cent of overseas Indians living in West Asia, contributed over 19 per cent to India’s inward remittances in 2023-24. This was almost half of all remittances India received from member countries of the Gulf Cooperation Council (GCC). Charts 5 and 6