India Russia May
India Russia May
India Russia May
Political Relations
2. Annual Summit: The Annual Summit meeting between the Prime Minister of
India and the President of the Russian Federation is the highest institutionalized
dialogue mechanism in the strategic partnership between India and Russia. So far
seventeen Annual Summit meetings have taken place alternatively in India and
Russia. Russian President Vladimir Putin visited Goa from 15-16 October 2016 for
the 17th Annual Summit, which resulted in 19 documents related to cooperation in
defence, space, information security, foreign policy, trade & investment,
hydrocarbons, shipbuilding, railways, and science and technology. Prime Minister
Modi and President Putin also adopted a Joint Statement "Partnership for Global
Peace and Stability and a Roadmap of Events to celebrate the 70th anniversary of
the establishment of the diplomatic relations between India and Russia in the year
2017. Earlier, PM and President Putin held a bilateral meeting on the sidelines of
the SCO Summit in Tashkent (Uzbekistan) on 24 June 2016. PM will visit Russia in
June 2017 for participation in the St. Petersburg International Economic Forum as
the Guest of Honour. The 18th Annual Bilateral Summit will also be held on 1st
June 2017 in St. Petersburg.
5. Chairman of the State Duma (Lower House of the Russian Parliament) visited
India in February 2015 and participated in the 3rd Session of the India-Russia
Inter-Parliamentary Commission. He also called on the President and Vice-
President of India. A five member delegation from the Russian Parliament attended
the BRICS Womens Parliamentary Forum in August 2016. In April 2016, Minister
of State for Defence visited Moscow and attended the 5th Moscow Conference on
International Security. The Minister of Law and Justice participated in the St
Petersburg International Legal Forum in May 2016. In June 2016, Minister of State
for Petroleum & Natural Gas participated in the 16th St. Petersburg International
Economic Forum (SPEIF), and also met his Russian counterpart. In March 2016,
the Russian Minister for Emergency Situations co-chaired the first meeting of the
India-Russia Joint Commission for cooperation in preventing emergency situations
in New Delhi. A three-member team from NDRF visited Russia for orientation and
training at the Russian Civil Defence Academy in April 2017. A number of other
exchanges are being discussed in accordance with Joint Implementation Plan.
8. India has longstanding and wide-ranging cooperation with Russia in the field
of defence. India-Russia military technical cooperation has evolved from a buyer -
seller framework to one involving joint research, development and production of
advanced defence technologies and systems. BrahMos Missile System as well as the
licensed production in India of SU-30 aircraft and T-90 tanks, are examples of such
flagship cooperation. During the 17th Annual Summit, the sides concluded
agreements on supply of S-400 air defence systems, construction of frigates under
Project 1135.6 and shareholders agreement on the formation of joint venture to
manufacture Ka-226T helicopters in India. The two countries also hold exchanges
and training exercises between their armed forces annually. The joint military
exercise Indra 2016 was held in the Ussuriysk District in Vladivostok from 22
September -02 October 2016. The annual bilateral naval exercise Indra Navy
took place off the coast of Vishakhapatnam on 14-21 December 2016.
9. Air Chief, Arup Raha visited Russia from 24-29 October 2016. Russian Naval
Chief visited India in March 2017. The first ever India-Russia Military Conference
took place in Delhi in March 2017. Nearly 45 Russian entities participated in this
conference. FSB Director, Alexander Bortnikov led a nine-member delegation to
India in March 2017, and called on the Minister of Home Affairs.
Economic Relations
10. Making the economic partnership a strong pillar of the bilateral partnership
like other areas of cooperation between India and Russia is a key priority for both
governments. In December 2014, the leaders of the two countries set a target of US
$ 30 billion bilateral trade by 2025. According to Russian Federal Customs Service
data, bilateral trade during in 2016 amounted to US$ 7.71 billion (decline of 1.5 %
over 2015), with Indian exports amounting to US$ 2.39 billion and imports from
Russia amounting to US$ 5.32 billion. Major items of export from India include
pharmaceuticals, tea, coffee and tobacco, machinery and mechanical appliances,
organic chemicals, and electrical machinery and equipment. Major items of import
from Russia include pearls, precious and semi-precious stones & metals, nuclear
power equipment, electrical machinery and equipment, mineral oil & products, iron
& steels, and optical, precision and surgical equipment. India and Russia are
exploring various ways for enhancing bilateral trade. A few important
steps/projects that could provide a major boost to bilateral trade are:
Operationalization of the Green Corridor project between the two countries which
has already reached an advanced stage; implementation of the International North-
South Transport Corridor, and the signing of an FTA between Indian and the
Eurasian Economic Union (EaEU). In December 2016, Eurasian Economic Union
(EaEU) approved the decision to start negotiations between India and the EaEU for
signing an FTA.
11. Indian investments in Russia are estimated to be about US$ 13 billion which
include Vankorneft and Taas-Yuryakh Tass fields; Imperial Energy Tomsk;
Sakhalin I; Volzhsky Abrasive Works Volgograd; and Commercial Indo bank.
Russian investments in India total about US$ 16 billion, including the acquisition
of the ESSAR Group, Kamaz Vectra in Hosur; Shyam Sistema Telecom Ltd,
Sberbank and VTB. Earlier, both sides had expressed their desire to raise the level
of investments in each others countries to US $ 15 billion (each way) by 2025.
Based upon current figures it appears that the target will be achieved almost eight
years earlier than planned.
13. The India - Russia Forum on Trade and Investment co-chaired by the
Commerce and Industry Minister of India and the Russian Minister for Economic
Development, and India-Russia CEOs Council are the two primary mechanisms to
promote direct bilateral business-to- business contacts between India and Russia.
Mechanisms such as India-Russia Business Council (partnership between FICCI of
India and CCI of Russia), India-Russia Trade, Investment and Technology
Promotion Council (partnership between CII of India and RUIE of Russia), India
Russia Business Dialogue (partnership between CII of India and Russias Business
Council for Cooperation with India) and India-Russia Chamber of Commerce (with
focus on SMEs) supplement the efforts to build direct business - to - business ties.
To promote smoother and greater movement of businessmen, the two countries
signed a protocol on 24 December 2015 to simplify visa procedures for
businessmen.
14. Hydrocarbons is an active area for exploring cooperation between the two
countries. In the second and third quarter of 2016, Indian companies invested close
to US$ 5.5 billion in Russias Oil and Gas sector, which included acquisition of
23.9% stake in Vankorneft and 29.9% in Taas-Yuryakh by an Indian Consortium of
Indian Oil Corporation Limited (IOCL), Indian Oil Corporation Limited (OIL) and
Bharat Petro Resources Limited (BPRL); and acquisition of 15% and 11% stake by
ONGC Videsh Limited (OVL) in Vankorneft from Rosneft Oil Company of Russia.
During the 17th Annual Summit, the sides concluded documents between
Engineers India Ltd and Gazprom on the Joint Study of a gas pipeline to India and
other possible areas of cooperation; Agreement in the area of Education and
Training between ONGC Videsh Ltd and Rosneft Oil Company; and Programme of
Cooperation (PoC) in the Field of Oil and Gas for the period 2017-18; and the Sale
and Purchase Agreement between a Rosneft-led consortium and Essar for
acquisition of 98% stake in Essar Oil Limited. The Rosneft led Consortium has
invested close to US $ 13 billion in this deal. The sides are working towards
realization of an Energy Bridge between the two countries, which is based on
robust civil nuclear cooperation, LNG sourcing, partnership in the Oil and Gas
sector, and engagement in renewable energy sources.
15. In December 2015, Tata Power signed an agreement with the Russian
Ministry of Far East Development for investment projects in energy sector in the
region. In October 2016, Indian and Russian railways signed an agreement on high
speed rails in India. In December 2015, Heavy Engineering Corporation (HEC),
Ranchi concluded agreements with Russian company CNIITMASH on establishing a
Centre of Excellence in India and modernization of HECs facilities; and Solar
Energy Corporation of India signed an MoU with Russian counterpart for
constructing solar plants in India.
Nuclear Energy
17. Russia is an important partner for India in the area of peaceful use of nuclear
energy. It recognizes India as a country with advanced nuclear technology with an
impeccable non-proliferation record. In December 2014, Department of Atomic
Energy (DAE) and Russias Rosatom signed the Strategic Vision for strengthening
cooperation in peaceful uses of atomic energy between India and Russia.
Kudankulam Nuclear Power Plant (KKNPP) is being built in India with Russian
cooperation. KKNPP Units 1 and 2 have already become operational. PM Modi and
President Putin jointly dedicated Units 1 & 2 to the nation on separate occasions
through videoconferencing. They also initiated the concrete pouring for Units 3 &4
through videoconference on October 15, 2016. An agreement on localization of
manufacturing of nuclear equipment in India was also concluded during the
Annual Summit on 24 December 2015. The sides are working for the early
finalization of the General Framework Agreement and Credit Protocol for Unit 5 &
6.
Space Cooperation
18. India-Russia cooperation in the field of peaceful uses of outer space dates
back to about four decades. 2015 marked the 40th anniversary of the launch of
Indias first satellite Aryabhatt on a Russian (then USSR) launch vehicle Soyuz.
In 2007, India and Russia signed a framework agreement on cooperation in the
peaceful uses of outer space, including satellite launches, GLONASS navigation
system, remote sensing and other societal applications of outer space. In June
2015, the space agencies signed an MoU on expansion of cooperation in the field of
the exploration and use of outer space for peaceful purposes. An agreement was
signed between C-DAC and GLONASS for cooperation in technologies based on
satellite navigation. On 15 October 2016, ISRO and Roscosmos signed an MoU to
establish ground measurement gathering stations for GLONASS and NAvIC in India
and Russia. Both sides are also exploring the possibility of cooperation in manned
space flight.
19. The Working Group on Science and Technology functioning under IRIGC-
TEC, the Integrated Long Term Programme (ILTP) and the Basic Science
Cooperation Programme are the three main institutional mechanisms for bilateral
Science and Technology cooperation, while the Science Academies of the two
countries promote inter-academy exchanges. ILTP during its 25-year long
implementation period, supported over 500 joint R&D projects and setting up of 9
thematic centers in India and Russia that resulted in generation of over 1500 joint
publications and many new products, processes, facilities, and research centers
besides developing over 10,000 scientific contacts. India-Russia Science and
Technology Centre with a branch each in Delhi-NCR and Moscow was set up in
2011-12 in order to promote two-way transfer of technologies and their
commercialization.
Cultural Cooperation
Indian Community
May 2017
********