India India Strategic Response to Azerbaijan where it has taken economic and diplomatic actions following its support for Pakistan during the India-Pakistan conflict.
Trade and Diplomatic Actions After the India-Pakistan Conflict
India Strategic Response to Azerbaijan – The India-Azerbaijan relationship has taken a sharp turn following Azerbaijan’s support for Pakistan in the recent India-Pakistan conflict. As India carried out Operation Sindoor, targeting terror camps in Pakistan and Pakistan-occupied Kashmir (PoK), Azerbaijan expressed concerns and backed Pakistan’s stance on regional stability.
This alignment with Islamabad has triggered strong reactions from Indian policymakers, traders, and travel agencies, leading to calls for economic disengagement.
Table of Contents
India’s Trade and Economic Actions
India’s trade connections with Azerbaijan have changed dramatically since the country’s diplomatic positioning:
1. Reduction in Azerbaijani Imports
- Indian traders have halted purchases of Azerbaijani goods, including – Tobacco, Tea, Chemicals, Jewelry and minerals
- Importers are shifting to alternatives from Iran, and domestic Indian sources.
2. Travel Restrictions and Tourism Boycott
- Major travel agencies, including EaseMyTrip and Cox & Kings, have suspended bookings for Azerbaijan like what they did for Turkey.
- Indian tourists are now opting for alternative travel destinations, leading to a projected decline in Azerbaijan’s tourism revenue.
- Azerbaijan lost over $308.6 million in tourism revenue from Indian travelers in 2024, with expectations of further losses in 2025.
Geopolitical Impact
India’s Diplomatic Strategy
- India has made explicit economic reprisal against Azerbaijan despite without formally severing ties.
- Indian policymakers have warned that further alignment with Pakistan could lead to stricter trade measures.
- India is strengthening defense partnerships with Armenia, Azerbaijan’s regional rival, to counterbalance political shifts.
Azerbaijan’s Response
- Azerbaijan defended its pro-Pakistan stance, stating that it was advocating for regional peace.
- Baku government officials emphasized the longstanding alliance between the two countries and asked India to reevaluate its trade restrictions.
Azerbaijan’s President Ilham Aliyev has remained silent on India’s reaction, but business leaders in Azerbaijan fear economic consequences.
Conclusion – India Strategic Response to Azerbaijan
India’s economic and diplomatic response to Azerbaijan’s support for Pakistan marks a significant geopolitical shift. As businesses withdraw, trade declines, and tourism is affected, the long-term implications for India-Azerbaijan relations remain uncertain.