Commercial relationsBilateral Trade

Commercial relations
Bilateral Trade has been growing steadily from US $ 7.5 bn (2009) to US $
8.5 bn (2010), to US $ 8.9 bn (2011) and to US $ 11.04 bn (2012). During
January - May 2013, the bilateral trade amounted to US $ 3.9 bn. India’s exports
to Russia amounted to US $ 1.3 bn while imports from Russia amounted to US $
2.6 bn. The two-way investment between the two countries stands at
approximately US$ 7.8 billion.
Both sides acknowledge vast potential for an increase in bilateral trade
volumes and investment, given the respective sizes of the Indian and Russian
economies, as also the untapped economic complementarities. In 2009, both
sides set the target of US $ 20 bn bilateral trade by 2015. Special efforts are
being made in the fields of energy, pharmaceuticals, IT, steel, hydrocarbons,
diamonds aerospace, fertilizers, and food products.
India - Russia Inter-Governmental Commission on Trade, Economic,
Scientific, Technological and Cultural Cooperation (IRIGC-TEC), co-chaired by
the External Affairs Minister of India and the Deputy Prime Minister of Russia, is
the main institutional mechanism supervising economic cooperation. It integrates
six working groups on economic and trade cooperation, modernization and
industrial cooperation, energy, tourism and culture, science and technology, and
IT. The 18th IRIGC-TEC meeting was held in New Delhi on 15 October 2012. An
inter-sessional meeting of IRIGC-TEC was co-chaired by External Affairs Minister
Mr. Salman Khurshid and Russian Deputy Prime Minister Mr. Dmitry Rogozin on
29 April 2013 in Moscow.
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. The last meeting of the India - Russia Forum on
Trade and Investment was held on 15 October 2012 in Moscow. 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 the Business Council
for Cooperation with India of Russia) and India - Russia Chamber of Commerce
(with focus on SMEs) supplement the efforts to build direct business - to -
business ties. In June 2013, the 4th India-Russia Business Dialogue was held
within the framework of the annual St. Petersburg International Economic Forum
(SPIEF). A meeting of India - Russia CEOs’ Council was also held in June 2013
in St. Petersburg.
Science & Technology Cooperation
The Working Group on Science and Technology functioning under IRIGCTEC,
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 which supports collaborative
research in basic and applied sciences has resulted in establishment of 9
thematic centers in India and Russia and implementation of about 500 projects.
In 2010, ILTP was extended for another 10 years with a renewed mandate
“innovation led technology programme”. 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 transfer of technologies developed jointly or independently by
the scientists of the two countries.
Cultural Cooperation
The strong tradition of Indian studies continues in Russia. Jawaharlal
Nehru Cultural Center at the Embassy of India, Moscow (JNCC) maintains close
cooperation with all leading Russian institutions including the Institute of
Philosophy, Moscow, Russian State University for Humanities, Moscow, Institute
of Oriental Studies, Moscow, Institute of Asian and African Studies at the
Moscow State University, School of International Relations at the St. Petersburg
University, Kazan Federal University, Kazan and Far Eastern National University,
Vladivostok. There is a Mahatma Gandhi Chair on Indian Philosophy at the
Institute of Philosophy, Moscow, while a Chair of Contemporary Indian Studies is
at the Russian State University for Humanities, Moscow. Proposals to establish
Chairs of Indian studies at Kazan Federal University, Kazan and Volgograd State
University, Volgograd are currently under ICCR’s consideration.
About 20 Russian Institutions, including leading universities and schools,
regularly teach Hindi to 1500 Russian students. Apart from Hindi, languages
such as Tamil, Marathi, Gujarati, Bengali, Urdu, Sanskrit and Pali are taught in
Russian Institutions. There is general interest among Russian people in Indian
dance, music, yoga and ayurveda. JNCC conducts classes in yoga, dance,
music and Hindi for approximately 500 students every month.
There are regular cultural initiatives to promote people-to-people contacts
between India and Russia. Year of Russia was celebrated in India in 2008 and
the Year of India was marked in Russia in 2009. 150th anniversary of
Rabindranath Tagore and a mini Festival of Indian Culture were celebrated in
Russia in 2011. During 2012, the Embassy of India, Moscow organized several
academic, cultural and other events to mark the 65th anniversary of establishment
of diplomatic relations between India and the Russian Federation. A Festival of
Russian Culture was organized in India in 2012. “Days of Moscow in New Delhi”
were held from 26- 29 October 2012.
Indian Community
Indian Community in the Russian Federation is estimated at about 15,000.
In addition, about 1,500 Afghan nationals of Indian origin live in Russia. About
500 Indian businessmen reside in Russia including about 200 businessmen who
work in Moscow. An estimated 300 registered Indian companies operate in
Russia. Majority of Indian businessmen /companies in Russia are involved in
trading while some represent Indian banks, pharmaceuticals, hydrocarbon and
engineering companies. Tea, coffee, tobacco, pharmaceuticals, rice, spices,
leather footwear, granite, I.T. and garments are amongst the products being
imported by these companies from India.
There are approximately 4,500 Indian students enrolled in medical and
technical institutions in the Russian Federation. About 90% of them pursue
medical studies in about 20 universities / institutions across Russia.
Hindustani Samaj is the oldest Indian organization in Russia functioning
since 1957. Other Indian organizations in Moscow include AMMA, DISHA, Indian
Business Alliance, Overseas Bihar Association, Textile Business Alliance,
Bhartiya Sanskritik Samaj, and Ramakrishna Society Vedanta Centre.
Embassy of India School in Moscow is affiliated to Kendriya Vidyalaya
Sangathan in New Delhi with teachers deputed from India. The School has
classes from I to XII and has about 360 students.