India, Maldives discuss potential areas for trade amid diplomatic tensions

MALE: Amid the diplomatic row between the two countries, the Indian High Commissioner to the Maldives, Manu Mahawar held a meeting with the Maldivian Minister of Economic Development and Trade, Mohamed Saeed to discuss potential areas of trade and economic cooperation. Maldives Ministry of Economic Development and Trade shared details about the meeting on X saying, "Minister @em_saeed met with Indian High Commissioner to Maldives, H. E. Munu Mahawar, and discussed potential areas for trade & economic cooperation."

In response to the Maldivian Ministry's post on X, the Indian High Commission in Maldives expressed New Delhi's willingness to continue engagement with the island nation. "We look forward to continued engagements with @MoEDmvfor further enhancing India-Maldives economic cooperation," the Indian High Commission in Maldives posted on X.

Notably, this marks the first meeting between the two countries after Pro-China Maldives President Mohamed Muizzu's ruling People's National Congress (PNC) won a supermajority in the Maldives Parliament. His party won 60 seats in the parliamentary elections.

It is pertinent to know that ties between India and the Maldives become strained since Maldives President Mohamed Muizzu assumed office. Despite this, India has always retained its soft diplomatic stand for Maldives and continued its Notably, the approved quantities are the highest since this bilateral arrangement came into effect in 1981. India and Maldives signed a trade agreement in 1981, which provides for the export of essential commodities.

The quota for river sand and stone aggregates, crucial items for the booming construction industry in the Maldives, has been increased by 25 per cent to 1,000,000 metric tonnes. There has also been an increase of 5 per cent in the quotas for eggs, potatoes, onions, sugar, rice, wheat flour and dal (pulses). Moreover, last year, India continued to export rice, sugar and onions to the Maldives despite a worldwide ban on the export of these items from India."

India remains strongly committed to supporting human-centric development in the Maldives, as part of its 'Neighbourhood First' policy," the statement by the Indian High Commission in Maldives then stated. He criticised India during and after the presidential polls and his government also formally requested India to withdraw its troops from Male.

However, in March, Muizzu requested New Delhi for debt relief measures, while stating that India would continue to remain the Maldives' "closest ally," local media reported.