Putin to soften trade imbalance with India

Russian President Vladimir Putin has ordered officials to devise measures, including purchasing more agricultural products and medicines from India, to soften the trade imbalance with New Delhi. The trade disparity has been caused by India's substantial crude import purchases from Russia.

Speaking at the 'International Valdai discussion forum of security' at the Black Sea resort of Sochi, Putin said he was looking forward to his trip to India in early December and meeting with "my friend and our reliable partner Prime Minister (Narendra) Modi”.

In New Delhi, the Ministry of External Affairs (MEA) responded, saying India and Russia enjoy a special and privileged strategic partnership and New Delhi looked forward to strengthening it.

MEA spokesperson Randhir Jaiswal said, “We look forward to strengthening these ties and we want to strengthen each and every segment and we are working on it.” He listed trade, economic issues, investment and defence as the key sectors and added both sides were committed to these.

Also, Jaiswal reminded that today was a special day as 25 years ago on October 3, 2000, India and Russia had announced their special partnership.

Meanwhile, Putin, who will travel to India in early December for the annual leaders' summit, lauded the government led by PM Modi, calling him a "balanced, wise," and “nationally oriented” leader.

Putin said Russia might buy more agricultural products and medicines from India to remove the trade imbalance. “More agricultural products may be purchased from India. Certain steps can be undertaken from our side for medicinal products and pharmaceuticals,” Putin added.

“We need to solve the whole range of tasks to unlock our opportunities and potential advantages,” he said, identifying financing, logistics and payment bottlenecks as key concerns between the two countries.

Responding to high tariffs and sanctions on India, Putin said Indian people would not tolerate their country being bullied into making a decision that contradicts their national interests and priorities.

“(India) will never allow itself to be humiliated by anyone. I know PM Modi, he will also not take any such decision,” he said.

“The losses faced by India due to punitive US tariffs would be balanced by crude imports from Russia, plus it will gain prestige as a sovereign nation," Putin added. He was referring to the additional 25 per cent tariff imposed by US President Donald Trump on New Delhi as a penalty for its purchases of Russian oil, taking the total levies imposed on India by the US to 50 per cent.

On the India-Russia ties, Putin said both sides always hear and take into account various key issues. "Our foreign ministries work very closely together," he said.