India's Foreign Policy: Panchsheel, NAM and Act East
Exam notes on India's foreign policy: Article 51, Panchsheel, the Non-Aligned Movement, Shimla and Tashkent, Look East to Act East, SAGAR and groupings.
By GK24 Editorial Team· Published · 4 min read

Foreign policy is the set of goals and methods with which a country deals with the rest of the world. India's foreign policy is made by the Prime Minister and the Cabinet, carried out by the Ministry of External Affairs, and its moral direction is written into the Constitution itself. India's multilateral diplomacy is in the news again as New Delhi hosts ministerial meetings of BIMSTEC, the grouping at the heart of the Act East policy; the lasting facts below are what examiners actually ask.
The constitutional base
Article 51, a Directive Principle of State Policy, directs the State to promote international peace and security, maintain just and honourable relations between nations, foster respect for international law and treaty obligations, and encourage settlement of international disputes by arbitration. Article 253 lets Parliament legislate to implement any international treaty or convention, and Entry 14 of the Union List places treaty-making with the Union. Jawaharlal Nehru, who was Prime Minister and his own Minister of External Affairs, gave the policy its early shape: anti-colonialism, anti-racism, Afro-Asian solidarity and independence of judgement between the two Cold War blocs.
Panchsheel: the five principles
The Panchsheel principles were set out in the preamble to the Agreement on Trade and Intercourse between the Tibet region of China and India, signed on 29 April 1954 by Nehru and Chinese Premier Zhou Enlai. The five are mutual respect for each other's territorial integrity and sovereignty, mutual non-aggression, mutual non-interference in internal affairs, equality and mutual benefit, and peaceful coexistence. The slogan of the years that followed was Hindi-Chini Bhai-Bhai; the border war of 1962 ended that phase, but Panchsheel survived as language India still uses in joint statements.
Non-alignment and the NAM
Non-alignment meant refusing membership of either military bloc while keeping the freedom to judge each issue on merit; it was not neutrality or isolation. Its road ran through the Asian Relations Conference at New Delhi in 1947, the Bandung Conference of Asian and African countries in Indonesia in 1955, and the Brioni meeting of Nehru, Egypt's Gamal Abdel Nasser and Yugoslavia's Josip Broz Tito in 1956. The first summit of the Non-Aligned Movement was held at Belgrade in 1961. Its founding figures are remembered as Nehru, Tito, Nasser, Indonesia's Sukarno and Ghana's Kwame Nkrumah. India hosted the seventh NAM summit at New Delhi in 1983, with Indira Gandhi as chairperson.
Landmark treaties and declarations
| Agreement | Year | Signed by |
|---|---|---|
| Panchsheel Agreement on Tibet | 1954 | Nehru and Zhou Enlai |
| Indus Waters Treaty | 1960 | Nehru and Ayub Khan, brokered by the World Bank |
| Tashkent Declaration | 1966 | Lal Bahadur Shastri and Ayub Khan, hosted by Soviet Premier Kosygin |
| Indo-Soviet Treaty of Peace, Friendship and Cooperation | 1971 | Swaran Singh and Andrei Gromyko |
| Shimla Agreement | 1972 | Indira Gandhi and Zulfikar Ali Bhutto |
| Lahore Declaration | 1999 | Atal Bihari Vajpayee and Nawaz Sharif |
Doctrines and phases
The Gujral Doctrine, set out by Inder Kumar Gujral in 1996, offered India's smaller neighbours accommodation without demanding reciprocity, on the reasoning that a secure neighbourhood serves the larger power best. The Look East Policy was launched in 1991 under Prime Minister P. V. Narasimha Rao, when the Soviet collapse and economic liberalisation together pushed India towards South East Asia; it was recast as the Act East Policy in 2014, with connectivity, defence and the North East's development added to trade. Neighbourhood First puts South Asia at the top of the queue, and SAGAR, meaning Security and Growth for All in the Region, announced in 2015, frames India's role as a maritime security provider in the Indian Ocean.
The groupings India works through
India is a founding member of the United Nations and of the Commonwealth, and its nationals have served the world body from the start. SAARC was founded at Dhaka in 1985 and has its secretariat at Kathmandu. BIMSTEC was created by the Bangkok Declaration of 6 June 1997 and has its secretariat at Dhaka; its seven members link South Asia to South East Asia around the Bay of Bengal. India became a sectoral dialogue partner of ASEAN in 1992, a full dialogue partner in 1995 and a summit-level partner in 2002. BRICS held its first standalone summit at Yekaterinburg in 2009 and became BRICS when South Africa joined in 2010. India joined the Shanghai Cooperation Organisation as a full member at the Astana summit in 2017. India also works through the G20, IBSA with Brazil and South Africa, and the Quad with the United States, Japan and Australia. On nuclear policy India stayed out of the NPT and the CTBT, calling both discriminatory, tested at Pokhran in 1974 and 1998, and follows a declared no-first-use doctrine with credible minimum deterrence.
Exam Point of View
Examiners test five things here: the year and the signatories of each agreement, the five Panchsheel principles and the 1954 Tibet agreement they came from, the venue and year of NAM summits, the names attached to doctrines and policies (Gujral, Look East, Act East, SAGAR, Neighbourhood First), and the founding year, founding city and secretariat city of SAARC, BIMSTEC, BRICS and the SCO. The common traps are swapping Tashkent with Shimla, pairing Shimla with Ayub Khan instead of Bhutto, dating Panchsheel to 1950 or 1955, placing the first NAM summit at Bandung instead of Belgrade (Bandung in 1955 was the Afro-Asian conference, not a NAM summit), and giving 2014 as the year Look East began rather than the year it became Act East. Learn the full form of SAGAR and of BIMSTEC word for word.
Important Facts
| Constitutional article | Article 51, Directive Principles: promotion of international peace and security |
|---|---|
| Panchsheel | 29 April 1954, India-China agreement on trade with the Tibet region; Nehru and Zhou Enlai |
| First NAM summit | Belgrade, 1961 |
| NAM summit hosted by India | Seventh summit, New Delhi, 1983, chaired by Indira Gandhi |
| Tashkent Declaration | 10 January 1966; Lal Bahadur Shastri and Ayub Khan |
| Shimla Agreement | 2 July 1972; Indira Gandhi and Zulfikar Ali Bhutto |
| Look East to Act East | Launched 1991 under P. V. Narasimha Rao; renamed Act East in 2014 |
| SAGAR | Security and Growth for All in the Region, 2015 |
| SAARC | Founded Dhaka 1985; secretariat Kathmandu |
| BIMSTEC | Bangkok Declaration, 6 June 1997; secretariat Dhaka |
| SCO membership | India admitted as a full member at the Astana summit, 2017 |
| Nuclear doctrine | No first use with credible minimum deterrence; India is not a party to the NPT or the CTBT |
Practice MCQs on this topic
The Panchsheel principles were first set out in an agreement signed between India and China in which year?
- A.1950
- B.1952
- C.1954
- D.1956
Show answer
The five principles of Panchsheel appear in the preamble to the Agreement on Trade and Intercourse between the Tibet region of China and India, signed on 29 April 1954 by Prime Minister Jawaharlal Nehru and Chinese Premier Zhou Enlai.
Read the full explanation →The first summit of the Non-Aligned Movement was held at which city?
- A.Bandung
- B.Belgrade
- C.Cairo
- D.Havana
Show answer
The first summit of the Non-Aligned Movement met at Belgrade, then the capital of Yugoslavia, in 1961, with Josip Broz Tito as host and Jawaharlal Nehru, Gamal Abdel Nasser, Sukarno and Kwame Nkrumah among the leading figures.
Read the full explanation →Which Article of the Indian Constitution directs the State to promote international peace and security?
- A.Article 48
- B.Article 50
- C.Article 51
- D.Article 53
Show answer
Article 51, among the Directive Principles of State Policy in Part IV, asks the State to promote international peace and security, to maintain just and honourable relations between nations, to foster respect for international law and treaty obligations, and to encourage the settlement of international disputes by arbitration.
Read the full explanation →The Tashkent Declaration of 1966 was signed between Lal Bahadur Shastri and which Pakistani leader?
- A.Zulfikar Ali Bhutto
- B.Muhammad Ayub Khan
- C.Yahya Khan
- D.Liaquat Ali Khan
Show answer
The Tashkent Declaration was signed on 10 January 1966 by Prime Minister Lal Bahadur Shastri and President Ayub Khan of Pakistan to settle the war of 1965, with Soviet Premier Alexei Kosygin as host and mediator at Tashkent, then in the Soviet Union.
Read the full explanation →In which year was the Look East Policy launched?
- A.1985
- B.1991
- C.1998
- D.2014
Show answer
The Look East Policy was launched in 1991 under Prime Minister P. V. Narasimha Rao, when the collapse of the Soviet Union removed India's closest partner and economic liberalisation created a reason to seek markets in South East Asia.
Read the full explanation →The Gujral Doctrine in India's foreign policy is associated with which idea?
- A.Nuclear first use against a conventional attack
- B.Accommodation of smaller neighbours without insisting on reciprocity
- C.Joining a military alliance led by a superpower
- D.Ending all trade with countries outside SAARC
Show answer
The Gujral Doctrine was set out by Inder Kumar Gujral in 1996, when he was Minister of External Affairs and later Prime Minister.
Read the full explanation →BIMSTEC was established by which declaration, and in which year?
- A.Dhaka Declaration, 1985
- B.Bangkok Declaration, 1997
- C.Colombo Declaration, 2004
- D.Kathmandu Declaration, 1992
Show answer
BIMSTEC, the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation, was created by the Bangkok Declaration of 6 June 1997, first as BIST-EC and then widened as more members joined; its seven members bridge South Asia and South East Asia, and its permanent secretariat is at Dhaka.
Read the full explanation →SAGAR, announced in 2015 as India's approach to the Indian Ocean, stands for what?
- A.South Asian Group for Agricultural Research
- B.Security and Growth for All in the Region
- C.Strategic Alliance of Gulf and Asian Regions
- D.Sagarmala Growth and Revenue plan
Show answer
SAGAR was announced in 2015 and sets out India's role in the Indian Ocean: maritime security and surveillance, capacity building and training for neighbouring navies and coast guards, cooperation on the blue economy and sustainable use of ocean resources, and first response during cyclones, tsunamis and other disasters.
Read the full explanation →At which summit was India admitted as a full member of the Shanghai Cooperation Organisation?
- A.Astana summit, 2017
- B.Shanghai summit, 2001
- C.Bishkek summit, 2019
- D.Goa summit, 2016
Show answer
India, which had been an observer since 2005, was admitted as a full member of the Shanghai Cooperation Organisation at the Astana summit in Kazakhstan in 2017, along with Pakistan.
Read the full explanation →The Shimla Agreement of 1972 was signed between which two leaders?
- A.Lal Bahadur Shastri and Ayub Khan
- B.Indira Gandhi and Zulfikar Ali Bhutto
- C.Jawaharlal Nehru and Liaquat Ali Khan
- D.Atal Bihari Vajpayee and Nawaz Sharif
Show answer
The Shimla Agreement was signed on 2 July 1972, after the war of 1971 and the creation of Bangladesh. It committed both countries to settle differences bilaterally and by peaceful means, and it turned the ceasefire line in Jammu and Kashmir into the Line of Control.
Read the full explanation →The Treaty of Peace, Friendship and Cooperation between India and the Soviet Union was signed in which year?
- A.1962
- B.1966
- C.1971
- D.1974
Show answer
The twenty-year Treaty of Peace, Friendship and Cooperation was signed in August 1971 by Foreign Minister Swaran Singh and his Soviet counterpart Andrei Gromyko, months before the war that created Bangladesh.
Read the full explanation →Which NAM summit did India host at New Delhi in 1983?
- A.The third summit
- B.The fifth summit
- C.The seventh summit
- D.The ninth summit
Show answer
India hosted the seventh summit of the Non-Aligned Movement at New Delhi in 1983, with Prime Minister Indira Gandhi taking over as chairperson of the movement for the following term.
Read the full explanation →Frequently Asked Questions
What are the five Panchsheel principles?
Mutual respect for each other's territorial integrity and sovereignty, mutual non-aggression, mutual non-interference in internal affairs, equality and mutual benefit, and peaceful coexistence. They appear in the preamble to the India-China agreement on trade with the Tibet region signed on 29 April 1954.
Who are called the founders of the Non-Aligned Movement?
Jawaharlal Nehru of India, Josip Broz Tito of Yugoslavia, Gamal Abdel Nasser of Egypt, Sukarno of Indonesia and Kwame Nkrumah of Ghana. The movement's first summit met at Belgrade in 1961.
What is the difference between the Look East and Act East policies?
Look East, launched in 1991, was mainly about trade and economic ties with South East Asia. Act East, announced in 2014, keeps that and adds connectivity projects, defence and security cooperation, cultural links and the development of India's North East as the land bridge to the region.
Is non-alignment the same as neutrality?
No. A neutral state stands aside from conflicts. Non-alignment meant staying out of the Cold War military blocs while judging each issue on its merits and speaking on colonialism, apartheid and disarmament, which India did repeatedly.
Which article allows Parliament to make a law to implement a treaty?
Article 253. It lets Parliament legislate for the whole or any part of India to implement any treaty, agreement or convention with another country, even on a subject in the State List.
What does SAGAR stand for?
Security and Growth for All in the Region. Announced in 2015, it sets out India's approach to the Indian Ocean: maritime security, capacity building for neighbours, blue economy cooperation and relief during disasters.
Sources
- The Constitution of India, Article 51 and Article 253 — Legislative Department, Ministry of Law and Justice
- Politics in India since Independence (Class XII), Chapter 4: India's External Relations — NCERT
- Ministry of External Affairs: Bilateral and Multilateral Documents — Ministry of External Affairs, Government of India





