Ahead of the 19th India-Russia bilateral annual summit in New Delhi early next month. With the two -way investments having already crossed the $30 bn target, the two countries have now proposed to enhance this figure to $50 bn by 2025. To achieve this both countries are seeking deeper cooperation in various other sectors including Railways, agriculture, North South Corridor and the pharmaceuticals.
Both sides are also going to have the first ever India-Russia Business Summit involving top companies next month. Sources told FE Online that, “During the recent visit of external affairs minister Suhma Swaraj to Moscow, both sides discussed ways and means to increase this momentum, ensure balanced trade, and remove barriers to trade.”
“Both want market access in the agriculture sector especially for grain products including wheat and bovine meat, and tropical fruits,” the source added. Swaraj co-chaired the 23rd India-Russia Inter- Governmental Commission on Technical & Economic Cooperation (IRIGC-TEC), and Yuri Borisov, Deputy Prime Minister of the Russian Federation.
IRIGC-TEC is a standing body which annually meets and reviews ongoing activities of bilateral cooperation in the fields of bilateral trade and investment, science and technology, culture and other issues of mutual interest.
Both the Roscosmos State Corporation for Space Activities and Indian Space Research Organisation are likely to work together on the first manned space mission. “Since India is planning to launch its first manned space mission by 2022, as Prime Minister Narendra Modi had said in his Independence Day address, there is a scope for further expanding the scope for cooperation, ” the source pointed out.
The two countries are keen to make the International North South Transportation Corridor (INSTC) a reality –which will connect India with Russia. As reported by FE earlier, India is expected to benefit hugely from the North South Corridor as this will be used for shipping goods to Central Asia through Nhava Sheva (Mumbai), Bandar Abbas (Iran), Tehran, Bandar Anzali (Iran) and Astrakhan (Russia).
Adding that energy is the traditional area of cooperation, the source said that, “We have expressed interests in additional oil fields in the Yamal LNG 2 project in Artic.”
Earlier this year the first shipment of LNG from Russia arrived in India. According to Minister of Petroleum and Natural Gas Dharmendra Pradhan, as quoted in the Russian media,”The country will import LNG from Russia worth an estimated $25 billion over the contract period of 20 years. Supplies will come from Gazprom’s Yamal LNG project in the Arctic.”