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PM Modi visits Guyana, first Indian PM to do so after 56 years, here’s how Modi’s Guyana visit matters for India’s energy security

Guyana is a rapidly expanding nation as a result of the discovery of oil and gas reserves.

On Wednesday, 20th November, Prime Minister Narendra Modi visited Guyana, and became the first Indian prime minister to visit Guyana in 56 years.

PM Modi was greeted warmly at the airport by President Irfan Ali and more than a dozen cabinet ministers, in an unprecedented gesture. The President of Guyana hugged and exchanged pleasantries at the arrival of PM Modi and the latter was greeted ceremoniously in Georgetown, Guyana, by a guard of honor.

During his visit, PM Modi has plans to address a special session of Guyana’s Parliament. He will also attend the second India-CARICOM Summit, which will bring together leaders from Caribbean partner countries. 

In a press briefing ahead of the Prime Minister’s visit to Guyana, the Ministry of External Affairs, stated that PM Modi’s visit took place at the request of Guyanese President Mohammad Irfaan Ali. 

“Recently, there has been an uptick in high-level contacts between India and Guyana. President Irfaan Ali himself was a chief guest at Pravasi Bharatiya Divas in January 2023,” Ministry of External Affairs Secretary (East) Jaideep Mazumdar said. 

“We have had a longstanding developmental partnership with Guyana, and this is in the fields of health, connectivity, and renewable power. The Garden Reach Shipbuilders and Engineers (GRSE) built an ocean-going ferry, which we supplied to Guyana last year. We also supplied two HAL 228 aircraft under a line of credit to Guyana this year. Solar lighting for about 30,000 indigenous communities has been provided to 30,000 households. So far, we have 800 ITEC alumni from Guyana who have studied in India. We hope to partner with them in a number of fields, including in hydrocarbons, but also in areas of healthcare, education, and defense,” he added.

Energy Security: India’s priority during the visit to Guyana

Notably, as per reports, energy security will be Modi’s main priority during his three-day visit to Guyana, which has emerged as India’s key partner in the Caribbean. Guyana is a rapidly expanding nation as a result of the discovery of oil and gas reserves. India’s engagement with the country aims not only to improve energy security for India but also to increase Guyana’s stature among Global South nations and the Caribbean area.

India notably is also drawing on Guyana’s unique past. Nearly 40% of the country’s population is of Indian heritage, including President Mohamed Irfaan Ali, whose forefathers were carried to the Caribbean region as indentured laborers by the British in the middle of the nineteenth century. Many even today, continue to uphold the cultural and religious traditions of their ancestors, who were brought to Guyana between 1838 and 1917 as indentured laborers to fill the workforce gap on plantations following the abolition of slavery.

India’s visit to Guyana after 56 years

Before PM Modi, former Prime Minister Indira Gandhi had visited the region in the year 1968. Following this, President Ali visited India in the year 2023 after which Guyana’s Vice President Bharrat Jagdeo visited India the same year. Guyana’s Prime Minister Mark Phillips also paid a visit to India in February, followed by visits by ministers and military personnel. However, this time, PM Modi is set to hold delegation-level talks with Ali, address the Indian community, and address a special session at Guyana’s parliament.

The Indian community earlier expressed happiness over the arrival of the Indian Prime Minister. Raising the slogans praising Modi, the Indian said that they were excited and eagerly waiting to see PM Modi.

As per the reports, Guyana is experiencing annual economic growth exceeding 40% due to its booming oil and gas sector, making the country a key destination for traders and investors. Amid this surge in interest, India has deepened its engagement with Guyana, leveraging the strong historical and cultural ties between the two nations. Both countries are optimistic about forging mutually beneficial agreements.

Guyana’s Foreign Secretary, Robert Persaud, highlighted that a visit by Indian Prime Minister Narendra Modi would mark a significant milestone in strengthening bilateral relations. “Both countries can, through their cooperation, develop greater synergies in a variety of areas, including energy, agriculture, technology, and security. Already, we have strong bilateral ties, but with PM Modi’s visit, it is expected that the relations between Guyana and India will be taken to a level that will see enhanced benefits for both countries,” he was quoted as saying.

Scott MacDonald, an economist and Caribbean Policy Consortium scholar further opined that Modi’s visit aims to raise India’s global foreign policy profile while also tapping into the region’s developing energy complex. Guyana is rapidly emerging as a prominent player in the oil industry and is poised for continued growth in both oil and natural gas production. At the same time, India, allegedly grappling with a power generation deficit, relies heavily on imported energy. Neighboring Suriname is also on the brink of its transformation in oil and gas production. For India, the southern energy hub comprising Guyana, Suriname, Trinidad and Tobago, and potentially Grenada holds significant geopolitical importance.

India and Guyana’s Strengthened Energy Collaboration

In recent years, energy collaboration between India and Guyana has strengthened, as evidenced by Indian Oil Corporation Ltd (IOCL) purchasing 1 million barrels of crude oil from Guyana, alongside another 1 million barrels acquired by a consortium led by HPCL-Mittal Energy. Additionally, state-owned ONGC Videsh and Oil India Limited (OIL) have shown interest in exploring opportunities in Guyana’s expanding oil and gas sector, the outlet noted.

India’s engagement with Guyana’s energy industry is part of its broader strategy to diversify energy sources, reducing dependence on the Middle East, which faces potential supply disruptions, and addressing scrutiny over oil imports from Russia. Guyana and neighboring Caribbean nations provide a reliable and stable alternative.

India also views Guyana as a strategic entry point to the Caribbean region. During his visit, Prime Minister Narendra Modi will meet with leaders from the Caribbean Community (CARICOM), a regional organization comprising 15 member states, at the Caricom-India Summit on Thursday. Co-chaired by Modi and Grenadian Prime Minister Dickon Mitchell, the summit aims to deepen bilateral partnerships.

CARICOM has indicated that the discussions will focus on strengthening cooperation in key areas, including energy, infrastructure, agriculture and food security, health and pharmaceuticals, and technology and innovation.

Apart from all this, Modi is also scheduled to participate in a floral tribute at the Mahatma Gandhi statue in Georgetown, installed in 1969 to mark the centenary of Gandhi’s birth. Additionally, Modi will visit the Indian Arrival Monument, which commemorates the arrival of the first ship carrying Indian indentured laborers to the Caribbean.

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Siddhi Somani
Siddhi Somani
Siddhi is known for her satirical and factual hand in Social and Political writing. After completing her PG-Masters in Journalism, she did a PG course in Politics. The author meanwhile is also exploring her hand in analytics and statistics. (Twitter- @sidis28)

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