Context:
During the state visit of Russian President Vladimir Putin to India, India and Russia signed 16 agreements covering trade, defence, nuclear energy, labour mobility, and connectivity. The visit reaffirmed the Special and Privileged Strategic Partnership, with an ambitious target of USD 100 billion bilateral trade by 2030.
Key Highlights:
Economic and Trade Cooperation
- A Programme for Economic Cooperation till 2030 was signed to diversify and balance bilateral trade.
- Bilateral trade has surged to USD 64–65 billion, largely driven by energy imports.
- Both sides committed to working towards an FTA with the Eurasian Economic Union (EAEU).
- Around 90% of bilateral trade is now conducted in national currencies, reducing dependence on the US dollar.
Labour Mobility and People-to-People Ties
- A Labour Mobility Pact was signed to facilitate movement of skilled workers and address labour shortages.
- 30-day visa-free tourist travel for Russian nationals announced to boost tourism and cultural exchanges.
Energy and Critical Minerals Cooperation
- Expanded cooperation in nuclear energy, including ongoing work at Kudankulam Nuclear Power Plant (KKNPP).
- Exploration of a second nuclear power plant site in India with Russian collaboration.
- Enhanced partnership in critical minerals, vital for clean energy, EVs, and high-tech manufacturing.
Defence and Security Cooperation
- Agreement to promote joint manufacturing of spare parts and components for Russian-origin defence equipment under Make in India.
- Cooperation to counter terrorism and extremism, including the use of Information and Communication Technology (ICT).
Connectivity and Logistics
- Focus on improving connectivity through:
- INSTC (International North-South Transport Corridor)
- Chennai–Vladivostok Maritime Corridor
- Northern Sea Route
Relevant Prelims Points:
- Issue: Deepening India–Russia strategic partnership amid global geopolitical shifts.
- Causes: Complementary economic needs, energy security, defence legacy ties.
- Government Initiatives: Make in India, rupee–ruble trade mechanisms, INSTC.
- Benefits: Energy security, diversified supply chains, defence indigenisation, labour opportunities.
- Challenges: Trade imbalance, Western sanctions on Russia, logistical bottlenecks.
- Impact: Strengthened multipolar engagement and reduced vulnerability to external shocks.
Relevant Mains Points:
- Facts & Provisions:
- Labour Mobility Pact: Facilitates legal movement of workers and skill matching.
- FTA with EAEU: Could enhance India’s access to Central Asian and Eurasian markets.
- INSTC: Reduces transport time and cost between India and Europe via Russia.
- Keywords & Concepts: Strategic autonomy, de-dollarisation, energy diplomacy, defence indigenisation.
- Static + Conceptual Linkages:
- Role of India–Russia ties in a multipolar world order.
- Energy and defence as pillars of strategic partnerships.
- Way Forward:
- Address trade imbalance through exports diversification.
- Fast-track connectivity corridors.
- Expand cooperation in technology, space, and green energy while managing geopolitical risks.
UPSC Relevance (GS-wise):
- GS Paper II: International Relations – Strategic partnerships, diplomacy
- GS Paper III: Economy – Trade, energy security; Internal Security – Defence cooperation