India and the Lao PDR established diplomatic relations in 1955, soon after the visit of Pt. Jawaharlal Nehru in 1954, and the formation of the International Commission for Supervision and Control (ICSC). India was the Chairman of the ICSC from its inception until 1975, when the Commission was formally wound up. The ICSC was formed to oversee the transition of three Indo-China countries - Laos, Vietnam and Cambodia - to independence from colonial rule.

The Lao People's Democratic Republic (PDR) came into existence in 1975. A common struggle against colonial powers by both the countries further reinforced the ties between India and the Lao PDR. Commonalities of views on major international issues have also laid a firm foundation for evolving mutually beneficial bilateral relations over these years.

With India becoming a Full Dialogue Partner of ASEAN in 1996, and the Lao PDR becoming a member of ASEAN in 1997, new prospects for greater cooperation between the two countries have been opened up. This has grown even further with India becoming "ASEAN+1" in 2002, and with Laos set to become the Country Coordinator for India within ASEAN in July 2003, as well as to assume Chairmanship of ASEAN in 2004.

Lao-India Friendship Association
In recognition of the close ties between the two countries, the Lao Government established the Lao-India Friendship Association in 1997, with the incumbent Minister of Agriculture and Forestry as the President of the Association. The Office Bearers of the LIFA are as follows:

1. H.E. Dr. Siene Saphanthong, President (also Minister of Agriculture & Forestry)
2. H.E. .Dr. Khampay Latsamy, Vice President (Member of the National Assembly & Vice Chairman of the Minorities Commission)
3. Dr. Souroth Senekhamphone, Executive Member (Advisor, Department of Religious Affairs)
4. Dr. Sisaveuy Souvanny, Executive Member (Head, Central Monastic Education Board)
5. Mr. Phengmy Xayasitthivong, Secretary

From the beginning, the Lao-India Friendship Association has played an important role in promoting greater understanding between the two countries. It took active part in organising a seminar on India-Lao relations in 1998 as part of the 50th Anniversary of India's Independence. A second seminar was organised in 1999 on Lao-India Cooperation in the field of Agriculture & Forestry, and a third in January 2001 on the history and development of Lao-India relations. In October 2002, the Friendship Association, in conjunction with the Embassy, released the book "The Evolution of the Lao State" by H.E. Mr. Phongsavath Boupha, Vice Minister of Foreign Affairs, which was published in India by Konark Publishers. The Association has also been involved in various cultural programmes organised in Laos by the Mission.