Bilateral Trade and Investment: India-Russia [PART I]

TRADING & INVESTING ARE INTEGRAL PART OF STRONG ECONOMIC COUNTRY RELATIONS

India-Russia relations are the most prominent example of strong & reliable international partnership both in terms of strategic growth, defense technological advancement by transfer of technology and international stable bilateral relationship, since the time of independence. India and Russian Federation have a close economic relationship history. In past, Russian Federation took part the India’s development aspirations by helping in establishing Bhillai Steel plant and IIT Mumbai also permitting rupee trade for Indian defense requirements.

Bilateral Trade with Russia 2013-14 witness a decline of 7.84% and amounted to USD 6.0 bn. But India’s exports to Russia increased in last fiscal by 29.1% whereas imports decrease by 8.5%.Therefore, India’s exports to Russia gave grown at a compound annual growth rate of 14.1% from time period 2008-09 to 2013-14. Trade balance in favour of a Russia due to import of energy supplies.

Recent Initiatives developments by includes

De-licensing and De-regulation of items under Defense Manufacturing sector
Introduce 24×7 online application filing system for Industrial Licenses
Introduce self-attestation and third party audit and liberalization of FDI Policy
Joint Venture with Russia for Anti-Tank Shell Production

The Indian Government & the Russian common interest and is committed to increase bilateral investment and trade. With the commitment of Indian Government for ‘Make-in-India’ policy this will set favorable partnership from both sides.

The Advantage of strong military relation with set benchmark for both Russian & Indian companies to know each other requirements and set strong business relations. The unexplored and very new economic prosperity of Russian people and business will be emerging area to develop in futures. The Russia-Trade, Investment and Technology Promotion Council and the India-Russia Chamber of Commerce for SME Coopertaion are some of the principal business dialogue platform between India-Russia.