It carries a citation and cash award of Rs 5 lakh.
The decision to honour the 69-year-old film maker, social worker and sufi poet was taken at a meeting of the Advisory Committee of the Rajiv Gandhi National Sadbhavana Award on Thursday.
Born in Lucknow, Ali also directed over one-and-a-half dozen movies including "Gaman" and "Khizan". He was awarded Padma Shri in 2005.
This will be the 22nd edition of the sadbhavana award, which will be presented at a special ceremony at Jawahar Bhavan on August 20, the birthday of late Prime Minister Rajiv
Congress President Sonia Gandhi has been presenting the award ever since it was constituted.
It was instituted to commemorate the contribution made by him to promote peace, communal harmony and fight against violence.
Recipients of the award include Mother Teresa, K R Narayanan, Ustad Bismillah Khan, Lata Mangeshkar, Sunil Dutt, Dilip Kumar, Ustad Amjad Ali Khan and Maulana Wahiduddin Khan.
Others who got it were Jagan Nath Kaul, Mohd Yunus, Hiteswar Saikia and Subhadra Joshi (jointly), Kapila Vatsyayan, Teesta Setalvad and Harsh Mander (jointly), S N Subbarao, Swami Agnivesh and Madari Moideen (jointly), Nirmala Deshpande, Hem Dutta, N Radhakrishnan, Gautam Bhai, SPIC MACAY and D R Mehta.

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