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Indian Foreign Policy: Background, Objectives, Principles, Phases-UPSC Notes

Last Updated on Jun 19, 2025
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Indian Foreign Policy has always reflected the core values and aspirations of India. One of the favorite subjects of civil service aspirants is Indian Foreign Policy. A proper understanding of its principles will guide them in understanding the diplomatic, economic, and geopolitical strategy pursued by India. This article will provide an all-inclusive and thorough guide into Indian Foreign Policy with its evolution, principles, and major initiatives.

India's foreign policy upsc is being put to the test in terms of options and partners in the international system. In recent decades, India has adopted a more expansive foreign policy that includes the SAARC-embodied neighborhood first strategy as well as the Look East Policy to create more wide economic and strategic partnerships with other East Asian countries.

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General Studies Paper II

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Panchsheel, Non-Aligned Movement, UN Reforms, Look East Policy, South-South Cooperation, SAARC and ASEAN

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India's Neighborhood Policy, Strategic Autonomy, Multilateral Engagements, Act East Policy
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However, the current situation in Ukraine, as well as the deep splits it has caused in the international community, raises new concerns about India’s foreign policy. This topic is important for the UPSC Mains syllabus under GS Paper 2. Study this article on Indian Foreign Policy, which is one of the most important topics under Indian Polity for UPSC Exams.

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What is a Foreign Policy?

Foreign policy refers to a country's plan in handling other nations. It dictates how countries will relate and collaborate. It is made up of trade, peace, and security objectives. Foreign policy aids the formation of inter-country relationships. Governments use it to protect their interests and global understanding.

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Background of Indian Foreign Policy

  • At the time of nation-building, there were issues of war, reconstruction of an international body, and the emergence of new countries due to the end of colonialism.
  • India had to deal with the dispute of partition and the task of poverty alleviation.
  • India decided to respect the sovereignty of all the Nations to achieve security by maintaining peace in its conduct of foreign relations.
  • Both domestic and international factors influenced the foreign policy of India like lack of resources and the economic dependence on more powerful countries.
  • India formed its policy against the backdrop of cold war development.

    • Objectives of Indian Foreign Policy

    • Build strategic partnerships with the neighbors and major world powers like the USA, the EU, Japan, Russia and China.
    • To safeguard India’s fundamental national interests and concerns in a swiftly changing global environment.
    • Intensify the global anti-terrorism effort and ensure that cross-border terrorism is brought to an end.
    • Enhance the benefits of India’s Act East Policy and strive for real advancement in a number of sectors of mutual relevance for India and ASEAN.
    • Generate economic growth by assisting regional organizations such as BIMSTEC, IBSA and IOR-ARC.
    • To work towards attaining the goal of nuclear disarmament.

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Principles of Indian Foreign Policy

India’s Foreign Policy is based on peace, non-alignment, and respect for international laws. It focuses on mutual respect, cooperation, and national interest in global relations. The following are some of the major principles of the Indian foreign policy:

Non-Alignment

  • India follows a policy of non-alignment. This implies it does not align itself with any military alliance or power bloc.
  • Non-alignment gives India independence and sovereignty. This enables it to pursue its national interests without succumbing to any pressure from external sources.

Panchsheel

  • Panchsheel is the "Five Principles" that guide Indian foreign policy.
  • These include respect for the territorial integrity and sovereignty of other states, non-aggression, non-interference in other's internal affairs, equality, and peaceful coexistence.

Peaceful Coexistence

  • India believes in peaceful coexistence with other nations. It promotes the peaceful resolution of conflicts.
  • It focuses on the aspect of diplomatic, dialog, and negotiations approaches to sustain friendship and avert armed conflict.

Mutual Respect and Equality

  • India values mutual respect and equality in its interactions with other countries.
  • It respects all nations irrespective of their size and power, and so do others respect India.
  • It adheres to sovereignty and independence principles in its foreign policy.
  • Respect for other countries' sovereignty: It respects the sovereignty of other nations. At the same time, it also expects respect from others, with independent decisions according to the country's interests.

Cooperation for world peace and stability

  • India supports the cause of peace, stability, and cooperation worldwide.
  • It supports international initiatives and organizations which advocate for peace, sustainable development, and international cooperation.

Economic Diplomacy

  • The foreign policy of India contains economic diplomacy as a core policy.
  • It has an objective of improving trade, investment, and economic relations with other countries for both parties' mutual interest and economic progress.

Cultural Diplomacy

  • India upholds its excellent cultural heritage and traditions through the medium of cultural diplomacy.
  • It undertakes cultural exchanges and promotes people-to-people contacts. It projects its rich traditions and arts on the world platform.

Regional Cooperation

  • India is an active participant in regional cooperation efforts, including SAARC (South Asian Association for Regional Cooperation) and BIMSTEC (Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation).
  • It aims at building regional integration, connectivity, and cooperation for shared prosperity.

Global Partnerships

  • India is building strategic partnerships with countries all over the world.
  • It cooperates with other like-minded countries on various issues that include security, countering terrorism, climate change, and technology. This is to address common challenges and promote shared interests.

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Determinants of Indian Foreign Policy

The determinants of India’s foreign policy shape the way India interacts with the world. These factors guide decisions on diplomacy, trade, and global partnerships. These determinants of India’s foreign policy help India protect its national interest while promoting peace and development globally.

National interests

  • In general, every country attempts to improve its economic and social growth in order to secure the well-being of its citizens. Because each country is at a distinct stage of development, policies must be tailored to fit.
  • Every country conducts foreign policy to advance its national interests. Some national interests have not altered over time, while others have.
  • Foreign policy is also affected by the level of development of a country.
  • To achieve its development ambitions, India relies largely on domestic consumption and overseas investment. India’s foreign policy is also consistent with these development aspirations.

Geographical factors

  • A country’s geography is one of the most consistent components of its foreign policy.
  • The primary geographical characteristics that influence foreign policy are its location, land topography, climate, and fertility.

Domestic factors

  • Nations having a large number of people and non-human resources are often big powers, and they have a better chance of becoming big powers in the international community.
  • A state’s resources include both human resources (its population) and non-human resources.
  • As a result, its size has a significant impact on its foreign policy.

Regional Environment

  • Regional events also play a role in determining foreign policy. For example, in 1971, the coalition of China, the United States, and Pakistan created a crisis situation for India, which prompted India to turn toward Russia.
  • At the moment, China’s growing supremacy is another cause for the deepening of India-US relations.
  • With Look East to Act East initiatives and China’s ascent in ASEAN, India has enhanced its capacity and power.

Economic Development

  • Economic sovereignty is critical in determining foreign policy. India, like its strategy, had to open its markets in 1991, but since then, India has become a financial powerhouse.
  • Many countries have expressed interest in India’s economic progress. Today, India is a significant energy consumer, with countries such as Turkmenistan, Iran, and Russia forming economic partnerships with it. However, India’s fundamental issue is its negative trade balance with China.

Check out the article on the Three Main Pillars of Nuclear Doctrine for UPSC Exams!

Phases of Indian Foreign Policy

The phases of Indian foreign policy reflect its changing global role since independence. From non-alignment to strategic partnerships, each phase shows India’s evolving diplomatic priorities and global ambitions.

Navigating the Cold War: Non-Alignment (1947-1962)

India sought balance amidst the Cold War's power struggle. It championed non-alignment as a leader of the Non-Aligned Movement. This strategic self-positioning set the scene for a future of peaceful coexistence and international stability.

Pragmatism and Assertion: A Decade of Adjustment (1962-1971)

After the 1962 war, India became more realistic. It involved itself actively with the world to protect its interests. This phase witnessed growing assertiveness and a proactive pursuit of regional and global influence.

Regional Power Shift: A Defining Moment (1971-1991)

The nuclear test by Bangladesh and India also guaranteed regional leadership. The collapse of the Soviet Union went on to redraw the global landscape, with far-reaching consequences for the direction of Indian foreign policy.

Maintaining Independence: Safeguarding Strategic Autonomy (1991-1998)

India has chosen to remain a strategically independent nation in this US-dominated unipolar world. The entire period has, therefore, been one of wise engagement with the major powers at the same time as building internal security and economic self-reliance.

Balancing Interests: Emergence of a Multi-Aligned Player (1998-2013)

India became a balancing power, so it made strategic alliances on issues such as the US nuclear deal. It also collaborated with China in issues related to trade and climate change. Ties with Russia continued being part of this multi-pronged approach.

Expanding Engagement: A Dynamic Present and Future (2013-Present)

In the current era, India's foreign policy thrives on active engagement. Building deeper strategic partnerships, fostering regional connections, and leveraging external relations are the hallmarks of this dynamic phase.

Check out the article on Look West Policy of India for UPSC Exams!

Recent Developments in Indian Foreign Policy

Recent developments in Indian foreign policy have focused on global challenges. Among these are the balancing of relations with Russia and the U.S. and border tensions with China. The Indian goal is regional stability.

Russia-Ukraine Conflict

India has been neutral in the Russia-Ukraine war. It supports a peaceful resolution and dialogue. Both ties with Russia and the U.S need to be equally balanced. India continues to buy Russian oil despite Western sanctions. It can thus meet energy needs while going through diplomatic competition

India-China Border Tensions

To reduce the tensions at the Line of Actual Control, India and China have agreed upon some agreements. Disengagement is on its way. India is skeptical about China's influence is spread more. The border needs to be further secured along with better infrastructure so as not to repeat such skirmishes.

G20 Leadership

India had the G20 presidency, where it focused on global challenges like climate change and economic recovery. It promoted inclusive development and technology sharing. India focused on cooperation between nations to address global issues. This leadership strengthened India's global standing.

Strengthening Ties with Neighboring Countries

India is trying to promote cooperation with Bangladesh, Bhutan, and Nepal. It is investing in infrastructure and trading initiatives. These development programs are targeted for regional cooperation and vis-à-vis China's influence. The most prominent of these initiatives is the India-Nepal railway.

Energy Security through Diplomacy

India expands its energy relationship with the Gulf states. MoUs on renewable energy and crude oil import. Diplomatic steps taken to ensure uninterrupted supply of energy. All this is critical to India's ever-growing energy requirements.

Climate Diplomacy

It focuses more on climate change mitigation. It supports renewable energy and global cooperation. International Solar Alliance is one of the initiatives that are really at the forefront of this international effort. India tries to maintain development and sustainability.

Quad Alliance

India actively engages with the U.S., Japan, and Australia as part of the Quad alliance. Its efforts primarily revolve around regional security within the Indo-Pacific. This organization fights the dominance that China exercises. Coordinated work among technology, trade, and maritime security are top priorities for these members.

Also read: Major Amendments to the Indian Constitution Polity Notes!

Challenges to Indian Foreign Policy

Indian foreign policy faces challenges like border tensions, global power shifts, and balancing ties with rival nations. Managing regional stability and energy security also remains complex.

  • International foreign policy plays across a world platform; it should continuously learn from changes taking place around the external world. In such instances, disintegration of the Soviet Union of Socialist Republics (USSR) and other socialist countries dramatically shifted foreign policy changes.
  • The highly industrialized countries, which have had centuries to get a head start on the route to progress and prosperity, are the fundamental cause of the current scenario.
  • Unfortunately, in the absence of skilful diplomacy, established polluters aim to impede rising and developing economies’ economic paths by imposing mitigation measures that are unfair to those who began industrialization later.
  • The world’s stretched water situation is deteriorating by the day, with the problem being most serious in huge expanding countries such as India, which has a burgeoning population and an ever-increasing need for water.
  • Terrorism is unconcerned about international borders. Regardless of domestic efforts, addressing this global menace will be difficult without international cooperation.
  • While our coal reserves are sufficient, the fact that it is not a particularly clean source of energy and that we lack adequate amounts of high calorific value coal necessary in vital industries such as steel manufacturing forces us to turn to other available sources such as oil and gas.
  • However, the threat posed by a more armed world, especially the spread of nuclear weapons technology, appears to be an issue with no fast answer.
  • The issue of the New International Economic Order, the issue of international resource distribution, the energy crisis, the protection of human rights, the issue of nuclear proliferation, the elimination of international terrorism, and other issues have all played significant roles in India’s and other developing countries foreign policy decisions.

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Key Takeaways on India’s Foreign Policy for UPSC Aspirants!

  • Strategic Autonomy: India maintains independence in decision-making, avoiding alignment with any significant power bloc (e.g., non-aligned stance, even today).
  • Neighbourhood First: Priority is given to strengthening ties with neighbouring countries like Nepal, Bhutan, Bangladesh, and Sri Lanka.
  • Act East Policy: Enhances economic and strategic relations with Southeast and East Asian countries to counterbalance China's influence.
  • Multilateral Engagement: Active participation in global and regional forums like the UN, BRICS, G20, and SCO to shape global governance.

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Indian Foreign Policy: Important FAQs

India adopted the policy of non-alignment with the notion to respect the sovereignty of all the Nations to achieve security through maintenance of peace in its conduct of foreign relations.

Kargil conflict started in May 1999 as a retaliation of the Indian army against the forces that occupied regions of Dras, Kaksar, Mushkoh, and Batalik on the LOC.

India's nuclear test was first conducted in May 1974 with a commitment to use nuclear power only for peaceful purposes. Hence, it was termed a peaceful explosion.

Tibet was annexed by China in 1950 which removed the historical buffer between India and China. Tensions grew when there was an armed rebellion against China in Tibet. The Dalai Lama obtained political asylum in India which led to allegations of anti-China activities in India in 1959.

With the advent of globalisation, external relations become important as they help in resolving issues related to peace and war, poverty. External relations also affect world politics, intrinsic political patterns, and the policies for resolution and cooperation between countries.
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