Russia Eyes Expansion of Trade Agreements with India Amid Growing bilateral Ties
MOSCOW/NEW DELHI: Russia's First Deputy Prime Minister Denis Manturov has confirmed Moscow's intentions to conclude a Free Trade Agreement (FTA) between the Eurasian Economic Union and India, as well as a bilateral agreement on services and investments.
The 25th meeting of the India-Russia Intergovernmental Commission in New Delhi saw Manturov co-chairing with External Affairs Minister S. Jaishankar. The Russian leader announced that Russia's trade volume with India has grown more than fivefold over the past five years, reaching nine per cent increase in the first eight months of the current year.
"Our growth is accompanied by diversification of the structure of mutual trade. We have increased food exports primarily of sunflower and soybean oil," Manturov stated during the meeting, according to a statement released by his office in Moscow.
Manturov also emphasized the importance of expanding cooperation between Indian and Russian banks, pointing out that the current share of settlements in national and alternative currencies has almost reached 90 per cent.
The meeting highlighted the significance of Russia's commitment to diversification, with traditional trade areas including energy resources and mineral fertilizers. Manturov announced plans to expand other sectors, including industrial equipment, components, medicines and substances from India.
India imports a range of products from Russia, including agricultural products, where Russian exports have grown significantly over the past five years. Manturov also hinted at the possibility of supplying equipment and components for support to India's national manned space program 'Gaganyaan'.
The two countries have made significant progress in humanitarian cooperation, including higher education, where Moscow aims to simplify mutual recognition procedures. Russia has also proposed a working group within the commission on cultural and tourism ties.
Moreover, the Russian Deputy PM called for an increase in direct air traffic between India and Russia, with an aim of resuming flights by Indian carriers. The meeting concluded with the signing of the final protocol by Manturov and External Affairs Minister S. Jaishankar.
Representatives from both countries discussed cooperation on transportation sectors, finances, and cultural activities to boost ties between the two nations.
Manturov's visit aims at strengthening commercial partnerships with key regional player India, focusing on development of co-operation in areas such as trade, energy, technology, automotive and space exploration.