India-Russia trade reaches a new high of $39.8 billion in 2022-23: SPIEF director

INTERNATIONAL DESK: Despite the Western pressure amid the ongoing Ukraine war, trade between India and Russia has reached a record high in 2022-23.

According to Aleksey Valkov, director of the St. Petersburg International Economic Forum (SPIEF), the trade between the two nations reached a new high of $39.8 billion in 2022-23,

While noting New Delhi as an emerging export site, Valkov who organised a mega Indo-Russian business summit in the national capital between March 29-30, asserted India is growing as a vital provider of medications, automobile and machine components, textiles and clothes, and food goods to Russia.

The increase in bilateral trade coincided with India’s large purchase of discounted Russian oil. “After the withdrawal of Western firms, Indian business has the opportunity to fill vacancies in other sectors of the Russian economy”, Valkov said, pointing to five key areas of potential cooperation: transportation infrastructure, agriculture and agro-processing, support for small and medium enterprises (SMEs), digital transformation and cutting-edge technologies, and manufacturing and trading.

Russia is among the top 5 Indian trading partners.

According to Valkov, who urged Indian firms to attend SPIEF, Russia has become one of India’s top five trading partners for the first time. “Visas are easily obtained, and SPIEF participants may do business while simultaneously enjoying Russian hospitality”, Valkov said.

He stated that Russia imports tea and coffee from India, as well as rice, fruits, seafood, and confectionery.

The director said that mineral oils and fuels, natural resources, precious stones and metals, fertilisers, project goods, vegetable oils, rubber and rubber products, paper and cardboard, iron and steel, inorganic chemicals, plastic products, and pharmaceuticals are among Russia’s exports to India.

A joint venture between the Russian firm JSC Metrovagonmash-Mytishchi and the RVNL coach builder in Latur would also produce about 120 Vande Bharat Trains.

The SPIEF director speaking about the newly established rupee-rouble trade settlement system claimed that transactions in national currencies promote sovereignty and it will help in saving time and cost reduction.