Economic and security factors in India-West Asia relations.

West Asia constitutes moslty gulf countries rich of crude oils (Cubait, Iran, Iraq, United Arab Emirat etc) and service sectors like Dubai.  For india, relation with West Asian countries are crucial as out 80% petrolium crude oil is imported from these countries.  Any conflict in the region, such as the Arab-Israeli war, Iran-Iraq war and Kuwait crisis, is likely to contribute to the disruption of oil supply and/or price hike, imposing additional burden on the Indian economy. There are more than 6.1 million Indian migrant workers in the Gulf region whose annual remittance is of 22 billion dollars and is among the highest foreign exchange earners for the country. Therefore any tension in the region may have negative consequences not for indian economy for these migrant workers. The ascendancy of conservative religious elements in the region is a cause for grave concern to India in view of its large indigenous Muslim population and the militancy in Kashmir.  India has substantial trade with West Asia. The liberalisation of the Indian economy has given further boost to these commercial links. The region accounts for more than 42 billion dollars of our imports, mainly hydrocarbons, and 40 billion dollars of our exports, which include wheat, non-basmati rice, textiles, and engineering and manufactured goods. The Indian construction companies have got some contracts in the region and there are ample opportunities in view of the reconstruction work in Afganistan, Iraq and UAE. The Persian Gulf and Suez Canal are the main waterways through which bulk of India's trade is carried out. West Asia has become an integral link in India's westbound air service.