India is set to become the newest addition to the European Tour schedule, although the Asian Tour instantly reacted by saying they were "appalled" by the development.
With record prize money for the country, the inaugural £1.25million Indian Masters is to be played at a venue yet to be announced on February 7-10 next year, the event being promoted and organised by 'Golf in Dubai' and sanctioned by the European Tour and the Indian Golf Union.
General JJ Singh, president of the Indian Golf Union, said: "It is an historic moment for Indian Golf. The event is a result of the growing status of the game of golf in India, augmented by the Indian performances across the golfing globe."
Jeev Milkha Singh won twice on the European Tour last year, including the prestigious end-of-season Volvo Masters, then triumphed twice in Japan and in April became the first Indian to appear in the Masters at Augusta.
George O'Grady, chief executive of The European Tour, said: The growth of the Indian economy has coincided with the emergence of golf as a major sport in the country.
"We are always keen to expand our tournament portfolio into new territories and we believe that the Indian Masters offers huge potential on that front.
"Thanks to Indian pioneers such as Jeev Milkha Singh and Arjun Atwal both popular champions on the European Tour international schedule along with Jyoti Randhawa and Shiv Kapur, professional golf in India has taken a massive step forward over the past decade."
However, Asian Tour executive chairman Kyi Hla Han issued a statement saying: "The Asian Tour is appalled with the European Tour's plans to stage a tournament in India without the sanction of the Asian Tour.
"This move is clearly unethical and against the protocol that exists within the framework of the International Federation of PGA Tours, of which both the Tours are full members.
"This action reflects on the European Tour's aggressive direction without any concern for the protocol of the International Federation of PGA Tours and highlights an invasive position on Asia."