India is confident of achieving USD 100 billion in annual bilateral trade with Russia well ahead of the timeline of 2030 and a more substantive relationship between the two nations has a larger global resonance, said the External Affairs Minister S Jaishankar on Tuesday.
There have been challenges to trade, especially with regard to payments and logistics and perceptible progress has been made in that regard; however, there is still some work to be done, he said.
The external affairs minister was speaking at the 25th India-Russia Intergovernmental Commission on Trade, Economic, Scientific, Technological and Cultural Cooperation (IRIGC-TEC). First Deputy Prime Minister Denis Manturov led the Russian delegation at the meeting.
In his televised opening remarks at the 25th session of the IRIGC-TEC, Jaishankar said the trade between the two countries needs to be “more balanced and that would require addressing current constraints and undertaking greater facilitative efforts. As two major nations in an increasingly multipolar world, a more substantive relationship between us has a larger resonance,” he said.
The external affairs minister said New Delhi welcomes and fully reciprocates Moscow’s growing interest in exploring economic opportunities in India.
“Our economies are not only complementary in many respects but benefit from the trust and confidence built over many years. The growth in bilateral trade is now estimated at USD 66 billion and it is impressive,” he said.
“Our goal is that it needs to be more balanced and that would require addressing current constraints and undertaking greater facilitative efforts. Making it easier to do trade should be accompanied by progress in the negotiations on the India-Eurasian Economic Union FTA,” he said.
Jaishankar said India has noted Russia’s growing interest in the Make in India programme and it would encourage joint ventures and other forms of collaboration between the two sides.
“I am confident that we will achieve the trade target of USD 100 billion by 2030, well before that,” he said.
The external affairs minister also highlighted India’s impressive growth rate in the last few decades.
“India, which has many decades of 8 per cent growth at least ahead of it, obviously values a reliable partner when it comes to resources, technology and best practices,” he said.
Jaishankar also touched upon Russia’s supply of fertilisers, crude oil and coal to India.
“Russia has emerged as a major source of fertilisers for us. Its supply of crude oil, coal and uranium is indeed important. Similarly, India’s pharmaceutical industry has emerged as an affordable and reliable source for Russia.” “Looking ahead, we are also exploring the mobility of talent and skills; customising them for the Russian market has to be a shared enterprise,” he said.
The external affairs minister also talked about the importance of various connectivity projects.
“Our joint endeavours in regard to connectivity, such as the International North-South Transport Corridor, the Chennai-Vladivostok Corridor and the Northern Sea Route, must go forward,” he said.
“We will also be discussing cooperation critical for our food, energy and health security,” he added.
In his remarks, Manturov also delved into fast-evolving trade ties between India and Russia.
“Over the last five years, the trade turnover of our country has grown more than fivefold. And India is now the second country among all the foreign economic partners of Russia,” he said.
“Among other things, we confirm our strong commitment to signing the free trade agreement between the EEU (Eurasian Economic Union) and India, as well as the bilateral agreement on services and investments. This fully meets the needs of our business community,” he said.
