Overview of trade and economic relations between India and Russia
India-Russia bilateral merchandise trade
Enhancing trade and economic cooperation between India and Russia is a key priority for the political leadership of both the countries.
Bilateral trade in services
Initiatives to promote bilateral investments
Both Governments have undertaken initiatives to promote bilateral investments, primarily through facilitating high-level Government to business and Business to Business contacts apart from the on-going investment process in strategic sectors in both the countries.
Investment cooperation has been envisaged is some priority sectors:
India and Russia are going to intensify work for eliminating trade barriers. This would be facilitated by the Trading Agreement between the Eurasian Economic Union (EAEU) and the Republic of India.
India-Russia cooperation in military and military-technical fields
Both countries have a strong cooperation in supply of coking coal from Russian Far East to India. India and Russia consider the prospects for expanding cooperation in hydro and thermal power, energy efficiency as well as for designing and constructing facilities that generate energy from non-conventional sources, to forge cooperation in geological exploration and joint development of oil and gas fields in Russia and India, including offshore fields. Russia has agreed to build more than 20 nuclear reactors over the next 20 year.
During the Russian-Indian Summit in 2019 was signed the Roadmap for cooperation in Hydrocarbons for 2019—24, both Sides expect bilateral cooperation in this sector to touch new heights in the next five years.
Other areas of cooperation
This is a traditional area of cooperation between Russia and India. During the summit in Vladivostok in 2019 Seven Russian companies agreed to cooperate in the implementation of infrastructure projects in India related to the design, construction, modernization of railway infrastructure facilities, the supply and localization of the production of railway equipment, equipment and materials.
The successful activity of the PJSC ALROSA office in India was noted. Both countries declared interest in enhancing rough diamonds trading system and exploring ways to further improve the regulatory environment in this field with the aim of protecting the equity of natural diamonds.
Bilateral trade in the sphere of agriculture
India and Russia intent to take specific steps to enhance legal framework in this sector and harmonize phytosanitary standards, develop logistics, find new ways to promote agricultural commodities in our countries’ markets and study the capacities and needs of each other more carefully. Green Corridor mechanism envisages pre-arrival exchange of information between two Customs administrations. This would help faster clearance to goods, through enhanced risk management.
India-Russia tourism ties have been developing vigorously and serve to further reinforce the relations of the Special and Privileged Strategic Partnership and mutual understanding. Both countries agreed to continue to deepen cooperation in progressive simplification of visa formalities, in particular, further extension of duration of e-Visa facility for business and tourism purposes to one year including for Russian nationals and the introduction of free electronic visas for Indian nationals to visit the Kaliningrad region and Vladivostok. Further, the two sides agreed to review possibility of expanding direct passenger and cargo flights including flights between various regions of both the countries.