PM Modi’s three-nation visit: Advancing India’s strategic interests beyond conventional talks

New Delhi: India’s Prime Minister Narendra Modi has embarked on a six-day, three-nation visit to Indonesia, Australia and New Zealand. The first leg of the tour took him to Indonesia, after which he travelled to Australia for a major engagement in Melbourne. He will conclude the visit in New Zealand. As West Asia remains turbulent, Modi’s engagement with countries to India’s east comes at a time of growing global uncertainty. The West Asian crisis and the global oil shock have made economies around the world more vulnerable to energy disruptions. As geopolitical competition intensifies and global supply chains come under increasing pressure, India is looking east to strengthen strategic partnerships. Modi’s visit to Indonesia, Australia and New Zealand is more than a routine diplomatic engagement. It is an opportunity to reinforce India’s position in the Indo-Pacific. The visit should not be viewed in isolation. It forms part of a broader diplomatic outreach that includes the Japanese Prime Minister’s visit to New Delhi and Modi’s visit to Seychelles last month. Although each leg of the tour has distinct bilateral objectives, the broader message is that Asia remains multipolar, the Indo-Pacific remains open and free, and regional partnerships continue to evolve outside hegemonic frameworks. Apart from the regular areas of engagement, the Prime Minister should also raise some under-noticed issues that require deeper cooperation with these countries. These are areas that matter for resilient supply chains, a wider export basket and stronger regional partnerships. Indonesia is India’s second-largest trading partner in ASEAN, with bilateral trade reaching USD 29.4 billion in 2023–24. In April 2026, India exported goods and services worth USD 414 million to Indonesia and imported goods and services worth USD 1.78 billion, resulting in a trade deficit of USD 1.36 billion. Petroleum was India’s leading export item to Indonesia, accounting for USD 50.4 million of the total trade, followed by motor vehicles and groundnuts. Over the past five years, bilateral trade has declined by an average of 12.3% annually. India’s exports have remained concentrated in petroleum products, organic chemicals, iron and steel, and pharmaceuticals. Given these trade trends, the Prime Minister should focus on expanding the trade basket to include digital technologies, healthcare and medicines. India should also promote connectivity through investment in sea ferrying and related maritime activities. The absence of a direct flight between New Delhi and Jakarta is another area that deserves attention. Better air connectivity can support tourism, business travel and people-to-people engagement. The Prime Minister should also push for an early review of the ASEAN-India Free Trade Agreement, which has remained pending for several years. A modernised agreement would strengthen India’s Act East policy. The second leg of the visit is Australia, which has emerged as one of India’s closest strategic partners in recent years. Both countries share a common vision of an open and free Indo-Pacific. The visit is part of the India-Australia Annual Leaders’ Summit process, which began in 2023. Trade between the two countries has been dominated by energy supplies. In 2024, India exported refined petroleum worth USD 3.16 billion to Australia, while Australia exported coal, briquettes and similar solid fuels worth USD 11.3 billion to India. While energy trade remains central to the relationship, both countries also face the challenge of achieving carbon neutrality amid volatile global energy markets. India and Australia are members of the International Solar Alliance. During this visit, the Prime Minister should focus on building a structured partnership on solar energy research, manufacturing and storage. Both countries can work together in solar energy, a sector where China has acquired significant dominance in the production of solar panels and lithium batteries. Australia has natural resources, while India has skilled manpower and manufacturing potential. A stronger clean energy partnership would help both countries diversify energy sources, democratise access to clean energy technologies and move closer to their carbon-neutrality goals. The final leg of the visit will take Modi to New Zealand, marking the first visit by an Indian Prime Minister in four decades. India and New Zealand signed an FTA in April 2026, which eliminated a 100% tariff on Indian products exported to New Zealand and ensured that 95% of tariff-free products would enter India. The New Zealand visit underscores India’s emphasis on multi-alignment, market diversification and deeper engagement with Oceania. There is significant potential for research cooperation in dairy and livestock products between the two countries. A joint research partnership in this field would help India reduce dependence on a few markets for value-added dairy and livestock products. It could also help India move beyond import dependence and become a stronger exporter of these products over time. Much of the discussion around Modi’s three-nation visit has focused on strategic competition, defence cooperation and the Indo-Pacific. Those issues will remain central. Equally important, however, are opportunities to diversify India’s trade basket, build resilient supply chains, expand clean energy partnerships and deepen cooperation in sectors such as healthcare, digital technologies and agricultural research. If pursued alongside the traditional strategic agenda, these initiatives can give India’s Act East policy greater economic depth and long-term relevance. [Keshav Kumar (Jha) is a PhD, Research Scholar in the Department of International Relations, FIS, South Asian University, New Delhi.] [Disclaimer: The views expressed are the author’s own and do not represent NewsDrum.in, which bears no responsibility for the content.]