India: Trade with Russia not temporary
India's Foreign Minister S. Jaishankar underlines the enduring nature of increasing trade ties between India and Russia, emphasizing that they signify a significant shift in economic opportunities.
India's Foreign Minister Subrahmanyam Jaishankar emphasizes that the increasing trade between India and Russia should not be seen as a fleeting trend, as it brings various economic opportunities.
Jaishankar stressed on Friday that the heightened trade between New Delhi and Moscow, spurred by Russia's focus on economic partnerships with Eastern countries, should be regarded as a sustained progression rather than a short-lived arrangement.
During an industry conference, Jaishankar said, “For long, we have looked at Russia from a political or security perspective.”
“As that country turns eastwards, fresh economic opportunities are presenting themselves ... the spike in our trade and new areas of cooperation should not be regarded as a temporary phenomenon,” he stressed.
Elsewhere in his remarks, Jaishankar highlighted India's commitment to broadening its economic horizons by seeking out new trade avenues.
The big picture
New Delhi has become a prominent purchaser of Russian maritime oil amid Western sanctions on Moscow. Trade between India and Russia surged to $65.7 billion in the fiscal year ending March 2024, a notable 33% rise from the preceding year.
India and Russia are reportedly working together to ensure year-round access to the Northern Sea Route, which spans Russia's northern coast and serves as the shortest shipping route between East Asia and Europe. Their goal is to enhance the transportation of goods to emerging markets by utilizing trade routes effectively.
Moreover, both nations aim to increase their trade volumes by utilizing the Vladivostok-Chennai maritime route, which connects Russia's Far East with southern India.
To strengthen bilateral ties, New Delhi is actively pursuing an investment treaty with Moscow, and is exploring the option of signing a free trade agreement with the Eurasian Economic Union, led by Russia.
Furthermore, discussions are underway between India and Russia regarding potential collaboration in military equipment production.
Read more: India neither steering away from US, nor toward Russia: Reuters