In past few years both India and Iran have been working towards managing its energy and economic cooperation under the shadow of the United States (US) and European Union (EU) sanctions. Despite the tightening of sanctions, India cannot halt the import of crude oil from Iran given its dependence on Iranian oil. Equally important is the regional security dynamics, particularly the developments in Afghanistan in the post-2014 scenario. In addition, the unfolding of Syrian crisis and the impact of the ‘Arab Spring’ has implications for both India and Iran. This paper attempts to bridge the various views and ideas on bilateral relations between India and Iran and the onus on the former to steer its diplomacy and national interest without undermining the fundamentals of its partnership with key allies such as the USA, Gulf Cooperation Council, and Israel. The results indicates that while India is concerned with balancing of forces to maximize its national interest Iran strives to shape a post-sanctions foreign policy that is reflective of the regions ancient links and the traditional Euro-centric foreign policy leanings. The gains from cooperation therefore becomes dependent on a new diplomatic momentum that is devoid of interference and victimization from outside.
Key words: India, Iran, economic and security cooperation, geopolitics, strategic natural resources, international relations.
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