India-CARICOM Relations Benefit from Modi’s Recent Strategic Engagement

Posted by Written by Archana Rao Reading Time: 5 minutes

India has intensified its efforts to strengthen ties with the Caribbean Community (CARICOM) nations, focusing on advancing cooperation in critical areas, such as trade, healthcare, digital transformation, and cultural exchange.

Through its ongoing collaboration with CARICOM, India aims to strengthen economic ties, promote investment, and create a robust framework for long-term trade partnerships, benefiting both sides in achieving shared development goals.

India’s Prime Minister Narendra Modi participated in the 2nd India-CARICOM Summit (November 20) during his five-day international tour (November 17-21, 2024), highlighting India’s dedication to strengthening long-term partnerships with CARICOM nations.

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The India-CARICOM Summit is a platform for India to engage with Caribbean countries to strengthen bilateral and regional ties. The first summit took place in 2019 on the sidelines of the United Nations General Assembly (UNGA). In the same year, India committed US$150 million in concessional financing for climate and renewable energy projects and US$14 million in grant assistance for community development projects in CARICOM. 

What is CARICOM? 

The Caribbean Community (CARICOM) is a regional organization comprising 15 member states and five associate members in the Caribbean. Established in 1973 by the Treaty of Chaguaramas, CARICOM focuses on fostering economic integration, coordinating foreign policy, and promoting sustainable development across member states.

CARICOM member states are: Antigua and Barbuda, Bahamas, Barbados, Belize, Dominica, Grenada, Guyana, Haiti, Jamaica, Montserrat, Saint Kitts and Nevis, Saint Lucia, Saint Vincent and the Grenadines, Suriname, and Trinidad and Tobago. 

The community also includes Observer States. 

Milestones in India-CARICOM relations

India CARICOM summit

Guyana

During Modi’s visit to Guyana—marking the first visit by an Indian Prime Minister in over five decades—India and Guyana signed 10 significant Memorandums of Understanding (MoUs) covering agriculture, hydrocarbons, healthcare, culture, and digital transformation. Some of the key MoUs are noted below:

  • Hydrocarbons cooperation: Focuses on joint crude oil sourcing, natural gas projects, and infrastructure development.
  • Agriculture: Promotes scientific collaboration to boost agricultural development.
  • Healthcare: Agreements include recognition of Indian Pharmacopoeia Regulations and implementation of the Janaushadhi Scheme to provide affordable medicines.
  • Digital transformation: A partnership between NPCI International and Guyana facilitates a UPI-like digital payment system, enhancing financial transactions.
  • Defense and security: Collaboration in research and training through institutions such as India’s Rashtriya Raksha University.

Trinidad and Tobago

India and Trinidad and Tobago held discussions centered on expanding bilateral cooperation in science, renewable energy, healthcare, and digital transformation. Trinidad and Tobago’s adoption of India’s UPI platform and the signing of an MoU on agro-processing marked key achievements.

Barbados

Meeting of the prime ministers of both India and Barbados highlighted collaboration in healthcare, pharmaceuticals, and international platforms like the United Nations.

Dominica

Similarly, Dominica and India held discussion on climate resilience, healthcare, and enhancing people-to-people connections.

Suriname

India’s engagement with President Chan Santokhi focused on expanding ties in trade, traditional medicine, defense, and technology, highlighting progress in bilateral relations.

Antigua and Barbuda

Modi lauded Prime Minister Gaston Browne for hosting the 4th SIDS Conference and explored avenues for collaboration in trade, investment, and climate change. Antigua and Barbuda also reaffirmed support for India’s bid for permanent UN Security Council membership.

St. Lucia

Prime ministers of the two countries highlighted cooperation in healthcare, education, cricket, and yoga, underscoring cultural and developmental collaboration.

The 7-pillar action plan for CARICOM

A comprehensive ‘C-A-R-I-C-O-M framework’ was unveiled at the second CARICOM-India summit, which aims to deepen India’s partnership with Caribbean countries.

1. C – Capacity Building

  • Announced 1,000 IT scholarships.
  • Proposed establishing a regional forensic center and expanding Belize’s technology center to serve CARICOM nations.

2. A – Agriculture and food security

  • Shared India’s advancements in agricultural technology, including the use of drones.
  • Advocated for millet cultivation to boost nutrition and food security.

3. R – Renewable energy and climate change

  • Invited CARICOM nations to join initiatives like the International Solar Alliance and Global Biofuel Alliance.

4. I – Innovation and technology

  • Proposed adapting India’s UPI platform and eMarketplace tools for CARICOM countries to enhance governance and economic growth.

5. C – Cricket and culture

  • Announced 11 scholarships for women’s cricket coaching per CARICOM country.
  • Suggested cultural initiatives, including Bollywood film festivals and Festivals of India.

6. O – Ocean economy and maritime security

  • Emphasized the Caribbean’s potential for ocean-based economies.
  • Proposed partnerships in maritime security to combat piracy and trafficking.

7. M – Medicines and healthcare

  • Offered support in affordable medicines and telehealth services.
  • Encouraged the adoption of the Indian Pharmacopeia to enhance access to cost-effective healthcare solutions.

Modi’s engagements with CARICOM nations reflect India’s strategic vision for mutual growth and sustainable development. The 7-pillar framework underscores India’s commitment to empowering CARICOM nations through innovation, technology, and shared resources, ensuring a lasting impact on the global south.

Why is the CARRICOM region important to India?

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The Caribbean region’s strategic location serves as a gateway to North and South American markets, making it a crucial trade partner for India. With historical ties through a vibrant Indian diaspora in countries like Guyana, Trinidad and Tobago, and Suriname, these relationships provide a strong foundation for expanding bilateral trade. India’s active participation in renewable energy projects and the International Solar Alliance further positions it as a reliable partner for CARICOM nations, addressing their energy security needs while fostering sustainable economic growth.

The Caribbean region offers vast opportunities for India in sectors such as energy, agriculture, pharmaceuticals, and digital technology. CARICOM nations, with their critical reserves of hydrocarbons, fertile agricultural land, and growing markets, align well with India’s expertise in these areas. Agreements such as the MoUs signed with Guyana impacting the hydrocarbon, agriculture, and digital sectors highlight India’s commitment to deepening commercial and investment ties.

India’s Exports to CARRICOM Member Countries (Value in US$ Million)

S. no.

Country/region

FY 2022-23

FY 2023-24

%Growth

1.

Jamaica

87.75

109.15

24.38

2.

Trinidad

104.93

109.06

3.93

3.

Bahamas

12.76

106.34

733.30

4.

Haiti

88.07

105.54

19.84

5.

Guyana

62.15

99.36

59.87

6.

Suriname

12.23

29.25

139.10

7.

Barbados

24.19

18.83

-22.13

8.

Antigua

2.90

14.97

416.71

9.

Belize

15.93

13.47

-15.48

10.

St. Lucia

5.13

7.26

41.59

11.

St. Kitts and Nevis

2.63

4.99

89.45

12.

Grenada

3.89

4.40

13.14

13.

Dominica

2.91

2.53

-12.94

14.

St. Vincent

1.19

2.38

100.94

15.

Montserrat

0.15

0.12

-17.33

 

Total

426.81

627.66

47.06

Source: Department of Commerce, Ministry of Commerce and Industry, GoI

India’s Imports from CARRICOM Member Countries (Value in US$ Million)

S. no.

Country/region

FY 2022-23

FY 2023-24

 %Growth

1.

Trinidad

91.26

259.90

184.78

2.

Suriname

48.89

22.60

-53.77

3.

Bahamas

3.68

20.84

465.97

4.

Belize

1.06

18.57

1,654.04

5.

Haiti

12.06

15.26

26.54

6.

Jamaica

4.99

7.48

49.91

7.

Guyana

4.22

6.61

56.69

8.

Barbados

1.29

3.25

152.91

9.

Grenada

1.45

1.91

32.17

10.

St. Lucia

0.11

1.23

1,028.87

11.

Antigua

0.52

0.84

62.01

12.

Dominica

0.60

0.50

-16.81

13.

St. Kitts and Nevis

1.22

0.11

-91.09

14.

St. Vincent

 –

0.10

– 

15.

Montserrat

0.00

 –

–

 

Total

171.35

359.20

109.63

Source: Department of Commerce, Ministry of Commerce and Industry, GoI

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