Modi-Putin Summit: India to Deepen Economic Ties with Russia Despite G7 Sanctions

India will be looking to deepen economic linkages with Russia, with a focus on increasing its exports, during Prime Minister Narendra Modi's upcoming meeting with President Vladimir Putin at the Kremlin next week, the state's Foreign Secretary Vinay Kwatra said on Friday.

"India-Russia bilateral trade has seen a sharp increase in 2023-24. It has since touched close to $65 billion, primarily due to strong energy cooperation between the countries. With Indian exports worth $4 billion and imports being close to $60 billion, trade remains imbalanced which is a matter of priority in our discussions with the Russian side," Kwatra told the journalists at a special briefing in New Delhi.

The Foreign Secretary underscored that the investment ties between the two nations had also been growing, including in the field of energy, banking, railways and steel.

"Russia also remains India's important partner for energy security and defence. In the area of nuclear energy, Units I and II of the Kudankulam Nuclear Power Plant (KNPP) have already become operational, and work is progressing on Units III and IV," Kwatra noted.

The senior diplomat underscored that the "special and privileged strategic partnership" between the two countries has remained "resilient in the wake of multiple geopolitical challenges" in recent years.

In Touch with G7 on Sanctions against Russia

However, last month, in Apulia Summit held in Italy, G7 nations vowed to crack down on third country entities which were found to be circumventing western sanctions as well called for stricter enforcement of the 'price cap' on Russian oil.

Responding to a question from Sputnik India on whether the New Delhi's efforts to address trade imbalance with Russia would be impacted by western restrictive measures, he said that despite the looming threat of the groups' sanctions, India would protect its interest in carrying out trade with Russia.

"On our part, we have always been careful to adhering to UN sanctions. Insofar as the G7 sanctions are concerned, we have been in very regularly touch with G7, essentially to protect and progress our national interest and our national needs when it comes to our economic and political interests, whether it relates to diamonds or other sectors of industry and economy," the Indian Foreign Secretary stressed.

Modi’s Agenda for the Annual Summit

Meanwhile, Kwatra highlighted that organising the Annual Summit was a "scheduling priority" for India in the third term of Prime Minister Modi.

The leadership talks next week would be the first meeting between the two countries since December 2021, when Putin travelled to New Delhi.

Spelling out Modi's likely agenda during discussions with Putin, Kwatra emphasised that the 22nd edition of the summit would provide an opportunity for both leaders to review the whole range of bilateral issues, including defence, trade linkages, investment ties, energy cooperation, Science and Technology, education, culture and people-to-people exchanges among others.

"They would share perspectives on regional and global developments of mutual interest and also assess the status of bilateral engagements in groupings such as BRICS, Shanghai Cooperation Organisation, G20, East Asia Summit (EAS) and the United Nations (UN)," Kwatra stated.

In the meantime, he suggested that Modi was also likely to take up the issue of Indian nationals serving in the Russian Army.

Along with that, Kwatra noted that the situation in Ukraine and Indo-Pacific, including the Sino-India Ladakh border dispute, was likely to figure in leadership discussions as well.

Kwatra claimed that both the countries had prepared a series of outcome documents, which would be announced the following week.

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