India and Russia are looking to deepen trade ties, with Russian president Vladimir Putin instructing officials to formulate strategies to address the trade imbalance. This includes increased procurement of agricultural goods and pharmaceutical products from India, to address the trade disparity caused by India’s substantial crude oil purchases from Russia.The announcement comes months ahead of Putin’s scheduled visit to India in early December for his yearly summit meeting with Prime Minister Narendra Modi. It also assumes significance at a time when the Donald Trump administration has imposed 50% tariffs on India, of which 25% are for India’s procurement of Russian crude oil.“The losses faced by India due to punitive US tariffs would be balanced by crude imports from Russia, plus it will gain prestige as a sovereign nation,” Putin said.Also Read | ‘Tariffs to hit growth, GST cuts not enough to offset impact’: RBI governor Sanjay Malhotra on impact of Trump trade war; confident of economic resilienceSpeaking at the Valdai international forum on security and geopolitical matters, which hosted experts from 140 nations including India, Putin addressed attendees at Sochi, a Black Sea resort town in South Russia, on Thursday evening.
Putin wants Russia to import more from India
The Russian president indicated that to address trade disparities, Russia could increase its imports of agricultural goods and pharmaceutical products from India. “More agricultural products may be purchased from India. Certain steps can be undertaken from our side for medicinal products, pharmaceuticals,” Putin said according to a PTI report.According to state-run news agency TASS quoted in the PTI report, Putin has directed his government to develop suggestions for “Indian friends and counterparts on the most promising areas of cooperation and how Russia can smoothen the imbalance in trade and other areas.”Whilst acknowledging substantial possibilities for economic partnership between Russia and India, Putin recognised specific challenges that need resolution to realise the full potential.He drew attention to comparative figures, noting trade volumes of $63 billion with India versus $50 billion with Belarus. “At the same time, the population is 1.5 billion in India and 10 million in Belarus. It obviously does not correspond to our potential opportunities,” Putin stressed.“We need to solve the whole range of tasks to unlock our opportunities and potential advantages,” Putin remarked, highlighting issues in financing, logistics and payment systems as primary concerns.Putin emphasised that Russia had “never had any problems or interstate tensions with India. Never,” whilst pointing out that both nations consistently acted with consideration for each other’s sensitivities.Also Read | S&P Global warns! Taking out Russian oil would turn price dynamics ‘upside down’; Trump tariffs driving India to economic independenceEmphasising the distinctive relationship between Russia and India dating back to the Soviet era during India’s independence struggle, Putin expressed gratitude for India’s enduring recognition of this bond. “In India, they remember this, they know it, and they value it. We appreciate that India has not forgotten it,” he said.Putin spoke warmly of Prime Minister Narendra Modi, describing their relationship as one of mutual trust, referring to him as his “friend”. He commended Modi’s leadership, characterising him as a “balanced, wise,” and “nationally oriented” leader of India’s nationalist government.“Everyone in India knows this well,” Putin stated, particularly regarding India’s autonomous stance on maintaining Russian oil imports despite American pressure.
