Diplomatist Magazine Diplomatist October 2019 | Page 7

SPECIAL REPORT
bilateral relations that the latter had elevated to
the level of a ‘special and privileged strategic
partnership’.
After the decline in 2015-2016, trade
between Russia and India is rapidly growing.
In 2018, its volume amounted to little less
than 11 bln US dollars enjoying the growth of
17.3 percent, according to the data provided
by Russia’s Federal Customs Service. In the
same year, India ranked only 17th among
Russia’s trading partners. However, at the
Eastern Economic Forum (EEF) – an annual
international event organized by Russia since
2015 - the two countries reiterated the pledge
to increase their trade to 30 bln USD. The
work of ‘Invest India’ and ‘Single Window
Service’ that the Russian Ministry of Economic
Development is to launch will help to achieve
this goal.
India’s Prime Minister Narendra Modi was
the chief guest at the EEF, and the delegation
from India counting 204 members was among
the largest at the Forum. India-Russia XXth
annual summit preceded the events of the EEF.
The leaders of the two countries visited the
Zvezda shipyard at the town of Bolshoy
Kamen, a shipbuilding and engineering
complex, which is famous for producing larger
modern icebreaking ships capable of navigating
the Northern Sea Route.
Moscow highly values its cooperation with
New Delhi, which is a part of a larger strategy of
opening up to Asia. This strategy is by no means
a mere outcome of Russia’s disillusionment
with the West and soaring relationship with its
countries. Rather, it comes from the recognition
of the obvious fact that today world’s center
of economic activity is shifting eastwards.
Enhancing cooperation with India is a part of
genuinely ‘Eurasian’ policy of Russia designed
to make the whole continent more harmonious
and integrated.
Nowadays, geopolitical and economic
competition among states is growing, but
international relations are free from harsh
ideological divisions of the Cold War period.
Thus, the present environment is conducive
for countries to exploit every opportunity for
truly unbiased pragmatic multi-vector policy.
This is especially true for Russia, who is not
interested in fi nding itself ‘squeezed’ between
the West and China, trying to fi nd some balance
in this asymmetric relationship. Present-day
India-Russia relations are developing on a
solid basis of previous experience of New
Delhi’s pragmatic dealing with the Soviet
Union, despite foreign policy disagreements
and diff erent ideologies, political and economic
systems. Moscow supported New Delhi`s bid
to join the Shanghai Cooperation Organization
(SCO), to which India became a member in
2017. Russia also welcomes New Delhi`s
pursuit of an active role in the SCO’s anti-
terrorism eff orts.
Russia actively promotes concluding
free trade agreements between the Eurasian
Economic Union (EEU) and other countries,
which is believed to give an additional boost
to the integrationist projects, where it holds a
very high stake. An agreement with Vietnam
came to force in 2016, temporary agreement on
free trade with Iran is undergoing ratifi cation
process. Same agreements are reported to be
signed this year with Serbia and Singapore.
At the Eastern Economic Forum 2019 Russian
president Vladimir Putin announced the
beginning of the fi rst round of negotiations on
free trade area between the EEU and India to
begin soon. Conclusion of the agreement is
likely to spur economic growth in all countries
concerned in near term perspective. India on its
part is also interested in Central Asian markets
and energy resources of those states.
The issue of the transport connectivity
between Russia and India is of rising signifi cance.
There is a strong need to reinvigorate the plans
of development of the International North-
South Transport Corridor. At the same time,
the agreement to restore a Vladivostok –
Chennai sea route that was signed at the EEF
will improve India`s access to the markets of
North Asia.
Extraordinary and Plenipotentiary Diplomatist • Vol 7 • Issue 10 • October 2019, Noida • 7