India-Russia Business Dialogue 2023

Tags: International Relations

External Affairs Minister S Jaishankar and Russian Deputy Prime Minister Denis Manturov on 17th April attended the inaugural session of "India-Russia Business Dialogue" 2023 in New Delhi.

An overview of the news

• They met representatives of Russian and Indian businesses.

• The participants in the business forum discussed issues of further enhancing Russian-Indian practical cooperation, including the Inter-Governmental Commission (IGC).

• The External Affairs Minister S Jaishankar said that India and Russia have crossed the bilateral trade target of 30 billion dollars before the target year of 2025. 

• S Jaishankar talked about the importance of connectivity initiatives.

• The International North-South Transport Corridor as well as the Eastern Maritime Corridor, which is the Chennai-Vladivostok Corridor, are being given due consideration.

• He said that the issue of payment needs to be worked out clearly.

• He also referred to the expansion of the network under the scheme of settlement of international trade in Indian Rupees through the Special Rupee Vostro Account System.

• India and Russia are paying special attention to the issues of mutual access of products to the markets of both the countries.

• Russia and the Eurasian Economic Commission are trying to speed up negotiations on a free trade agreement with India.

International North-South Transport Corridor (INSTC)

• It is a multi-modal transport established by Iran, Russia and India on 12 September 2000 in St Petersburg.

• It is a 7,200 kilometre long multi-mode network of shipping, rail and road transport for freight.

• India, Iran, Afghanistan, Azerbaijan, Russia, Central Asia and Europe are involved in the corridor.

• Its main purpose is to promote transportation cooperation among the Member States.

• It connects the Indian Ocean to the Caspian Sea via the Persian Gulf to Russia and northern Europe.

Significance of INSTC

• It aims to reduce the cost of movement of goods between India and Russia by about 30 percent and reduce transit time by more than half.

• It will provide an alternative connectivity initiative to countries in the Eurasian region.

• It has the potential to transform countries' economies into specialized manufacturing, logistics and transit hubs.

• It opens a sustainable alternative route for India to trade with Afghanistan and Central Asia.

About Russia

• Prime Minister: Mikhail Mishustin

• Capital: Moscow

• Currency: Russian ruble

• President: Vladimir Putin

• Official Language: Russian