Unravelling the dynamics of de-hyphenation policy and two-state solution

Amid the ongoing clashes between Israel and Hamas have again created hard choices and the associated dilemma before India. However, peaceful Israel-Palestine relations make India’s choice easier. Therefore, India is pushing a de-hyphenation policy and promoting the two-state solution as part of its diplomatic strategy. It helps in handling the Israel-Palestine issue in a balanced and pragmatic approach.

Why India is pushing forward De-hyphenation Policy?

De-hyphenation means treating India’s relations with Israel and Palestine or any concerned countries like Iran separately, rather than linking one relationship to the other. This policy allows India to maintain strong ties with both countries without one relationship negatively affecting the other. Therefore, it protects India from creating unnecessary adversaries in the political affairs of the world.

For India, Israel as well as Palestine are important. Israel directly impacts India’s developments in defense cooperation, technology collaboration, intelligence sharing, trade etc. For instance, India has been working with Israel in water treatment specially in water deficit regions like Bundelkhand. Along with this, Israel’s role is also important in improving agricultural system and increasing productivity at the farm level.

However, unlike Israel, Palestine may not directly influence India’s interests. But balanced relations with both Israel and Palestine pave roads for peaceful relations with Arabs and other Muslim countries like Iran. India has significant energy security concerns with Iran as a key supplier of oil. Furthermore, Iran’s Chabahar Port is vital for India’s connectivity to Afghanistan and Central Asia, bypassing Pakistan.

By de-hyphenating its ties, India can focus on these individual relationships without being pulled into the rivalry between Israel and Iran. It avoids choosing sides and instead positions itself as a neutral party capable of engaging with both nations.

India’s commitments to Two-State Solution

The two-state solution refers to the idea of creating two independent states—Israel and Palestine—living side by side in peace. This solution is widely considered to be the most viable way to resolve the Israel-Palestine conflict, which is at the heart of Israel’s regional tensions, including with Iran. India has traditionally supported the two-state solution. India’s policy towards Palestine has been long standing and consistent.

By continuing to endorse this, India can advocate for peace between Israel and Palestine while addressing the broader regional tensions that involve Iran’s opposition to Israel. When Hamas attacked Israel on 07 October 2023, India reiterated the same stand along with condemning terror attacks. In this direction, India has backed Palestine’s bid for full membership in the United Nations, which was rejected by the US in May 2024.

How does it impact India’s diplomatic profile?

Its spillover impact can be seen on India-Iran relations. One of Iran’s central objections to Israel is its treatment of Palestinians and continuous “encroachment” by Israel. The growing India’s proximity to Israel further annoys Iran. Dimplomatic advancement of the two-state solution can reduce Iran’s hostility toward Israel. This could also help in de-escalating Iran’s support for anti-Israel militant groups like Hezbollah in Lebanon and Hamas in Gaza.

Moreover, promoting the two-state solution is not just about resolving the Israel-Palestine conflict; it could also help stabilize the wider region, reducing the influence of extremist groups backed by Iran. Also, India can get technological benefits from Israel that would benefit India at large. Apart from this, balanced approach would help in managing relations with Arab countries which are vital for energy security and economic interdependence in terms of remittances of nearly $120 bn.

Therefore, by promoting the two-state solution, India would reaffirm its commitment to peace and regional stability without alienating either Israel or Iran. With Israel, India gains in terms of defense, agriculture, and technology cooperation. Similarly, Iran helps India is securing energy resources and regional connectivity, especially through the Chabahar Port. Promoting peace, through a two-state solution and diplomacy, helps India safeguard these interests.

Global Positioning and challenges

India has historically pursued a non-aligned, neutral foreign policy, especially in the Middle East. Pushing for both the de-hyphenation policy and the two-state solution aligns with India’s image as a responsible global player, committed to peace, development, and non-proliferation. Similarly, the two-state solution has broad international support, including from the UN, the EU, and other global powers.

However, this approach is not free from challenges. The first and foremost challenge is posed by the US. India would need to carefully manage its relationship with the US, which has close ties with Israel and a contentious relationship with Iran. The US has historically been a strong supporter of Israel, and while it has at times supported the two-state solution, domestic US politics can make this a sensitive issue.

Even if the two-state solution progresses, Iran’s broader ambitions in the Middle East (such as its influence in Syria and Iraq) might still fuel tensions with Israel, limiting the impact of the two-state solution on their bilateral conflict. It is so because Iran is ambitious for becoming the leader of Muslim world. In this context, Iran has been developing nuclear capability in Nantanz and challenging Israel and USA collectively.

In conclusion

Therefore, it is a high time to develop consensus in the world for the peaceful resolution of Israel-Palestine issues. India’s push for de-hyphenation and support for the two-state solution aligns with its larger diplomatic goals—maintaining strong relations with both Israel and Palestine-Iran axis while promoting regional peace and stability.

These policies would allow India to continue playing a balanced role in the Middle East, avoid adversaries in direct conflicts, and contribute to long-term peace, which would ultimately serve its national interests. By supporting these approaches, India can position itself as a mediator and an advocate for peaceful resolution, while safeguarding its own strategic ties in the region.

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