Jaishankar in Baku: Can trade and connectivity help Azerbaijan restore ties with India after fallout from Operation Sindoor? | Today’s news

A year after India-Azerbaijan relations soured over its support for Pakistan during Operation Sindoor, Foreign Minister S Jaishankar’s visit to Baku, the capital city whose name is believed to be related to the Sanskrit word Bagavan, meaning “God” or “City of God”, signals a new diplomatic push to mend relations.

Jaishankar’s visit comes as New Delhi and Baku seek to revive bilateral ties after a period of diplomatic friction triggered by the India-Pakistan conflict in May 2025.

Jaishankar, who arrived in Azerbaijan on Friday on a one-day visit, held talks with Azerbaijani Foreign Minister Jeyhun Bayramov, describing them as “very productive” and saying the discussions helped pave the way for improved bilateral relations.

“Our talks were about further expanding our bilateral relations. We talked about economic cooperation, including trade, investment and energy, which are central to our bilateral ties. Given our complementary economies, we believe there is very good scope for further strengthening our bilateral trade and investment,” Jaishankar said.

The two sides also agreed to closer coordination on the International North-South Transport Corridor (INSTC), a connectivity initiative that could give India better access to markets across Eurasia.

Located on the Caspian Sea, Baku has historically been a crossroads of trade and cultural exchanges between Asia and Europe.

“Both of us have invested in the International North-South Transport Corridor. This is very important to us. Today we have agreed to coordinate more closely in this regard,” Jaishankar added.

The visit, the first by an Indian foreign minister to Azerbaijan in eight years, comes amid efforts to overcome the diplomatic fallout of Operation Sindoor. Azerbaijan’s support for Pakistan following Indian military strikes strained relations, while India’s growing defense partnership with Armenia was another source of bilateral concern.

Can economic ties overcome political impact?

Trade and investment could provide a practical basis for rebuilding relations. According to the Indian Embassy in Baku, bilateral trade will reach $401 million in 2025, with Indian exports accounting for $226 million and imports from Azerbaijan $175 million, largely comprising oil.

India also has significant energy interests in Azerbaijan. ONGC Videsh Ltd (OVL) has invested more than $1.2 billion to acquire stakes in the Azeri-Chirag-Gunashli (ACG) oil and gas fields and the associated Baku-Tbilisi-Ceyhan (BTC) pipeline.

In November 2024, OVL acquired an additional 0.615% stake in the ACG oil and gas field from Norway’s Equinor for $60 million, along with a 0.737% stake in the BTC pipeline. The acquisition increased OVL’s holdings to 2.925% in ACG and 3.097% in Sales.

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Jaishankar said the two countries agreed to deepen cooperation in oil and energy and to expand engagement in other sectors.

Connectivity and Tourism: A Path to Reconnecting?

Connectivity is another potential area for closer cooperation. Delhi and Mumbai have direct air links with Baku, although IndiGo suspended seven weekly Delhi-Baku flights in January 2026 amid the conflict involving Iran, the US and Israel. Azerbaijan Airlines continues to operate direct flights between India and Azerbaijan.

The two countries have also discussed increasing flight frequency, while Air India announced a codeshare partnership with Azerbaijan Airlines in August 2026. Better air connectivity could boost tourism, business travel and wider people-to-people exchanges.

However, tourism illustrates both the potential and the vulnerability of these links. Indian arrivals to Azerbaijan rose from 4,853 in 2014 to 243,589 in 2024 before falling to around 166,944 in 2025, according to data released by the Indian embassy in Baku.

The drop followed a citizen-led boycott of Azerbaijan by Indian tourists after Baku supported Pakistan during Operation Sindoor.

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Jaishankar also thanked Azerbaijan for helping Indian nationals, especially students evacuated from Iran during the conflict earlier this year.

He appreciated the care provided to Indian students in Azerbaijan and suggested to expand the participation of Azerbaijani professionals in India’s Technical and Economic Cooperation (ITEC) programme.

Diplomatic opening, but can it bring a permanent reset?

The renewed engagement follows Prime Minister Narendra Modi’s brief meeting with Azerbaijani President Ilham Aliyev on the sidelines of the Shanghai Cooperation Organization summit in Bishkek in September 2026. According to the Indian Embassy in Baku, it was the first face-to-face interaction between the leaders of the two countries.

The Ministry of External Affairs said terrorism, security issues and common threats were among the topics discussed during Jaishankar’s visit.

MEA spokesperson Randhir Jaiswal said the two countries recognized the need to work together to promote peace, prosperity and security of their citizens and solve common problems.

Bayramov also welcomed Jaishankar’s visit, saying it provided an opportunity to exchange views on the current state and future prospects of Azerbaijan-India relations.

The immediate challenge for New Delhi and Baku is to translate this diplomatic opening into tangible cooperation without undermining their respective strategic partnerships. Trade, energy, tourism and INSTC offer avenues to renew ties.

Jaishankar’s visit may have re-opened the door to engagement. Whether that translates into a meaningful reset will depend on what comes next.