Background
India was the first non-Arab country to contemporaneously recognize the Palestine Liberation Organization's authority as "the sole legitimate representative of the Palestinian people." A PLO office was set up in the Indian capital in 1975, with full diplomatic relations established in March 1980. In return, India opened a Representative Office in Gaza on June 25, 1996. Indian support was said to extend to "consistent and unwavering support" on the Palestinian issue, where it shared the perception that the question of Palestine is at the core of the Arab-Israeli conflict. India has thus consistently supported the legitimate right of the Palestinian people to a State and the consequent imperative need for a just, comprehensive and lasting peace in the region based on UN Security Council Resolutions 242, 338 and 425, as well as the principle of "Land for Peace." India has also supported the Madrid Conference of October, 1991.
Continued support
Following the Israeli invasion of Lebanon in 2006, India came out, surprisingly, saying Israeli use of force was "disproportionate and excessive."
India participated in the 2007 Annapolis Conference and the consequent donors conference. India's government noted the direct relevance for India on the issue and favoured the creation of "sovereign, independent, united states of Palestine" asserting that its support for the cause remains unwavered. External Affairs Minister, Pranab Mukherjee, briefed the Consultative Committee in his ministry saying, "India's support to the Palestinian cause has not wavered." Practically a year later, as a gesture of solidarity with the Palestinian cause, India gifted a piece of prized real estate in the Indian capital’s elite diplomatic enclave for the building of an embassy of the Palestinian National Authority's President (PAP) Mahmoud Abbas. Abbas will lay the foundation stone of the chancery-cum-residence complex of the embassy of Palestine, where the PAP Abbas would formally dedicate the building to the people of Palestine from the people of India. The gift underscored India’s "unwavering solidarity and commitment to an independent Palestine" and was seen by some to balance its growing relations with Israel. On his visit, the PAP said that India had played a great role in West Asia peace process. After the ceremonial reception and a guard of honour at the forecourt of Rashtrapati Bhawan, Abbas said relations between India and Palestine had always been good and that the two countries were making efforts to improve such relations. "You know how good relations we have, between India and Palestine since [the] great Indira Gandhi and [the] great Yasir Arafat. And everyday, it’’s improving. We are very glad with the help and the support of the Indian people to the Palestine."The next day the Indian Prime Minister Manmohan Singh said, "India believes that the solution should be based on the relevant U.N. Resolutions, the Arab Peace Plan and the Quartet road map resulting in a sovereign, independent, viable and united State of Palestine living within secure and recognised borders, side by side at peace with Israel."A joint statement also added that "India also called for an end to the expansion of Israeli settlements in occupied Palestine and for an early and significant easing of restrictions on the free movement of persons and goods within Palestine."
Domestic Palenstinian controversy arose, however, as Abbas received some flak for his intransigence. On the visit to India he stated that the country's "growing relationship with Israel is not a matter of concern for [the] Palestinians" as New Delhi's support for Palestinian independence remained clear. He was condemned for making an "utterly irresponsible, gratuitous statement" as "shameful" as it was "politically futile" and stood no chance to win the PA anything in return. Without an apparatus of Palestinian democratic accountability by the representatives of the people the flood of official Palestinian concessions was "guaranteed to continue unabated" as it would cause further damage to the struggle for "inalienable rights." While talking about India's growing engagement with Israel, particularly in the field of defence, Abbas said, "India's relations with Israel is its sovereign decision. We are not going to interfere. We know very well that India is supportive of the Palestinian struggle for achieving its own independence." His controversial comments were in stark contrast to report than India became Israel's second largest trading partner, while India became Israel's largest arm's market and the latter became the former's largest arms supplier. However, it was also said that the Palestinian economy has "incredible potential" which could be unleashed if the Israeli restrictions on Palestinian movement were lifted, this was accorded by the regional World Bank chief just after a high-level World Bank delegation inaugurated a sewage storage facility on a rare trip to the Hamas-ruled Gaza.
While Indian support has often relied on the age-old, and often qualifiable propaganda basis, certain points did bound the pre-partition states of Ireland, India, and Palestine. On this front, where Israel "unabashedly defends the rights of Jews over all others, India (as a state) has never claimed religious exclusivism for it's [sic] Hindu citizens,"this gave credence to a legitimate support for the Palestinian cause. It was also showed, through academic analysis, that "economic factors can have a profound impact efforts to resolve conflict peaceably."With this aforementions disclaimer, India could, theoretically, be an important ally to improve tensions. Studies of such parallels have also shown that economic factors do now draw positive yields.
