At the India-Russia Business Forum in Mumbai, External Affairs Minister Dr. S Jaishankar stated that India-Russia bilateral trade is poised to surpass USD 100 billion by 2030, up from the current USD 66 billion. He stressed, however, that addressing the trade imbalance is essential, calling for the removal of non-tariff barriers and regulatory hurdles to achieve this target. “The India-Eurasian Economic Union trade-in-goods negotiations began in March this year, and we need to advance them energetically,” Jaishankar said.
Jaishankar identified ten key areas of growth for enhancing bilateral trade and investment, reflecting the shared vision of Indian and Russian leaders for an expanded economic relationship, including the establishment of a Comprehensive Economic Partnership by 2030. He also underscored the need to expedite a Bilateral Investment Treaty to enhance investor confidence.
To support balanced trade, mutual settlements in national currencies have been prioritized, with Special Rupee Vostro Accounts already set up to facilitate this shift. The May 2024 Authorized Economic Operators agreement between Indian and Russian customs has improved trade ease, according to Jaishankar.
He highlighted three major connectivity initiatives—the International North-South Transport Corridor (INSTC), the Chennai-Vladivostok Maritime Corridor, and the Northern Maritime Route—as crucial to enhancing logistical links and realizing the full potential of trade between India and Russia.
Beyond trade, Jaishankar emphasized collaboration in education and film as key to strengthening cultural and economic ties. He noted the increasing Russian interest in the “Make in India” initiative, which he sees as bolstering cooperation in various sectors.
Jaishankar acknowledged some challenges, such as banking, payments, logistics, shipping, and insurance, urging both governments to develop solutions to create a favorable environment for businesses engaged in bilateral trade. He concluded by revealing that a Programme of Economic Cooperation for 2030 is in progress to provide a long-term framework for growth.
