INTERNATIONAL RELATIONSHIP
7.RUSSIA
Background of India Russia Relations
India and Russia have enjoyed good relations since 1947 wherein Russia helped India in attaining its goal of
economic self-sufficiency through investment in areas of heavy machine-building, mining,
energy production and steel plants.
Later India and the Soviet Union signed the Treaty of Peace and Friendship in August 1971 which was the
manifestation of shared goals of the two nations as well as a blueprint for the strengthening of regional and
global peace and security.
After the dissolution of the Soviet Union, India and Russia entered into a new Treaty of Friendship and
Cooperation in January 1993 and a bilateral Military-Technical Cooperation agreement in 1994.
In 2000 both countries established a Strategic Partnership. The year, 2017 marked the 70th anniversary of
establishment of diplomatic relations.
Pillars of India Russia relations
Defence partnership- For India, Russia remains the sheet anchor of India’s security policy. The defence ties,
one of the highly influential aspect of their relation, rest on 3 features of technology transfer, joint
development, marketing & selling and export of equipment, an agreement nonexistent with any other country.
It has provided significant enhancement to India’s indigenous defence manufacturing.
Some of the major defence collaboration programs are: BrahMos Cruise Missile program, Sukhoi Su- 30
and Tactical Transport Aircraft
Economic Relations- It is an important pillar of the relations yet there remains a lot of scope to improve it
further. India and Russia are exploring various ways for enhancing bilateral trade.
Energy Security- In Energy sector Russia has built nuclear reactors in India (kudankulam reactors), adopted
strategic vision in nuclear energy, offered oil, gas and investment opportunities in the fuel sector of Russia
e.g. Sakhalin I etc.
Space technology- India and Russia have a four-decade strong relationship in the field of space. The former
Soviet Union launched India’s first two satellites, Aryabhata and Bhaskar. It has provided India help in
developing Cryogenic technology to build heavy rockets.
International standing- Russia has supported India’s bid for permanent seat in UNSC. It has been favoring
Indian entry to Nuclear Supplier Group. Both countries coordinate each other over various forums including
BRICS, SCO, G20 etc.
Cultural Relations- This is one the crucial aspects of cooperation between the two. From people to people
contacts (through programs like ‘Namaste Russia’) to sharing educational brilliance of both the countries
through institutes like Jawaharlal Nehru Cultural Centre, both the countries have had good cultural links.
Sakhalin - ONGC Videsh Ltd acquired a 20% stake in Sakhalin in 2001.It further bought
Imperial Energy a few years later and has recently invested in Vankorneft and TasYuryah. In
return, Russian firm Rosneft has bought a majority stake in Essar Oil for USD 12.9 billion.
Today, Russia is one of India’s largest investment destinations in the oil and gas sector. Gas
, utility GAIL has contracted 2.5 million tonnes per annum of LNG from Russia's Gazprom for 20
years. India has embarked on the path of becoming a gas-based economy, and a steady
partnership with Russia is an important pillar in that vision. India is working on a long term
oil supply agreement with Russia.
INS Vikramaditya (aircraft carrier): Vikramaditya in Sanskrit means “Brave as the Sun”. After
serving in the Soviet and Russian navies from 1987 to 1996, the carrier was acquired from
Russia by India on January 20, 2004. After successful completion of her sea and aviation trials
in September 2013, she was formally commissioned in the Indian Navy on 16 Nov 2013. On 14
June 2014, the Prime Minister of India formally inducted INS Vikramaditya into the Indian
Navy.
Why this downturn?
India’s growing proximity to the United States: Rapidly expanding ties and growing defence relationship
between India and US and, India joining quadrilateral group led by the US has led to a strategic shift in
Russia’s foreign policy . For Russia it has been a period of great hostility with West, thus pushing it to align
with China.
Defence partnerships:
India has been recently diversifying its defence relations with US, Israel etc. Russia’s share of Indian
defense imports fell from 79 percent between 2008-2012 to 62 percent between 2013-2017.
India withdrew from Russia’s fifth-generation fighter aircraft project because of delays and differences
over cost, technologies and flexibility for future upgrades.
India has signed logistic agreements like LEMOA, LSA with US. India US improvement in defense
relation ,conducting bilateral milltiery excise with USA but India Russia relation lacks this aspect.
One Dimensional Trade:
Trade has been one-dimensional i.e. defence based. Despite a 42 percent boost from the previous year,
trade still only touched $10.7 billion in 2017-18. This is far below potential in comparison to India’s
trade with China ($95.8 billion), the United States ($142 billion).
There are a number of issues that hinder India-Russia trade, like, connectivity issues, distance,
weak banking links, cumbersome regulations on both sides and Russia’s restrictive visa regime.
Russia’s changed foreign policy posture:
Towards Pakistan:Russia in 2014 lifted arms embargo on Pakistan. Russia and Pakistan conducted a
military exercise in September 2016. In 2017, a military-technical cooperation agreement was signed
which deals with arms supply and weapon development. All these factors raised concerns in India.
Towards China:Increasing strategic military relations between Russia China also impacted India
Russia relations. Russia has sold advanced military technology to Beijing, endorsed China’s One Belt
One Road and has urged India to overcome its objections to it. There has also been concern about
Moscow leaning toward Beijing in forums like the BRICS.
Towards Taliban: Russia is showing inclination towards Taliban in Afghanistan while India continues
to have concerns about the group.
Steps taken to address the downturn in relations
7.RUSSIA
Background of India Russia Relations
India and Russia have enjoyed good relations since 1947 wherein Russia helped India in attaining its goal of
economic self-sufficiency through investment in areas of heavy machine-building, mining,
energy production and steel plants.
Later India and the Soviet Union signed the Treaty of Peace and Friendship in August 1971 which was the
manifestation of shared goals of the two nations as well as a blueprint for the strengthening of regional and
global peace and security.
After the dissolution of the Soviet Union, India and Russia entered into a new Treaty of Friendship and
Cooperation in January 1993 and a bilateral Military-Technical Cooperation agreement in 1994.
In 2000 both countries established a Strategic Partnership. The year, 2017 marked the 70th anniversary of
establishment of diplomatic relations.
Pillars of India Russia relations
Defence partnership- For India, Russia remains the sheet anchor of India’s security policy. The defence ties,
one of the highly influential aspect of their relation, rest on 3 features of technology transfer, joint
development, marketing & selling and export of equipment, an agreement nonexistent with any other country.
It has provided significant enhancement to India’s indigenous defence manufacturing.
Some of the major defence collaboration programs are: BrahMos Cruise Missile program, Sukhoi Su- 30
and Tactical Transport Aircraft
Economic Relations- It is an important pillar of the relations yet there remains a lot of scope to improve it
further. India and Russia are exploring various ways for enhancing bilateral trade.
Energy Security- In Energy sector Russia has built nuclear reactors in India (kudankulam reactors), adopted
strategic vision in nuclear energy, offered oil, gas and investment opportunities in the fuel sector of Russia
e.g. Sakhalin I etc.
Space technology- India and Russia have a four-decade strong relationship in the field of space. The former
Soviet Union launched India’s first two satellites, Aryabhata and Bhaskar. It has provided India help in
developing Cryogenic technology to build heavy rockets.
International standing- Russia has supported India’s bid for permanent seat in UNSC. It has been favoring
Indian entry to Nuclear Supplier Group. Both countries coordinate each other over various forums including
BRICS, SCO, G20 etc.
Cultural Relations- This is one the crucial aspects of cooperation between the two. From people to people
contacts (through programs like ‘Namaste Russia’) to sharing educational brilliance of both the countries
through institutes like Jawaharlal Nehru Cultural Centre, both the countries have had good cultural links.
Sakhalin - ONGC Videsh Ltd acquired a 20% stake in Sakhalin in 2001.It further bought
Imperial Energy a few years later and has recently invested in Vankorneft and TasYuryah. In
return, Russian firm Rosneft has bought a majority stake in Essar Oil for USD 12.9 billion.
Today, Russia is one of India’s largest investment destinations in the oil and gas sector. Gas
, utility GAIL has contracted 2.5 million tonnes per annum of LNG from Russia's Gazprom for 20
years. India has embarked on the path of becoming a gas-based economy, and a steady
partnership with Russia is an important pillar in that vision. India is working on a long term
oil supply agreement with Russia.
INS Vikramaditya (aircraft carrier): Vikramaditya in Sanskrit means “Brave as the Sun”. After
serving in the Soviet and Russian navies from 1987 to 1996, the carrier was acquired from
Russia by India on January 20, 2004. After successful completion of her sea and aviation trials
in September 2013, she was formally commissioned in the Indian Navy on 16 Nov 2013. On 14
June 2014, the Prime Minister of India formally inducted INS Vikramaditya into the Indian
Navy.
Why this downturn?
India’s growing proximity to the United States: Rapidly expanding ties and growing defence relationship
between India and US and, India joining quadrilateral group led by the US has led to a strategic shift in
Russia’s foreign policy . For Russia it has been a period of great hostility with West, thus pushing it to align
with China.
Defence partnerships:
India has been recently diversifying its defence relations with US, Israel etc. Russia’s share of Indian
defense imports fell from 79 percent between 2008-2012 to 62 percent between 2013-2017.
India withdrew from Russia’s fifth-generation fighter aircraft project because of delays and differences
over cost, technologies and flexibility for future upgrades.
India has signed logistic agreements like LEMOA, LSA with US. India US improvement in defense
relation ,conducting bilateral milltiery excise with USA but India Russia relation lacks this aspect.
One Dimensional Trade:
Trade has been one-dimensional i.e. defence based. Despite a 42 percent boost from the previous year,
trade still only touched $10.7 billion in 2017-18. This is far below potential in comparison to India’s
trade with China ($95.8 billion), the United States ($142 billion).
There are a number of issues that hinder India-Russia trade, like, connectivity issues, distance,
weak banking links, cumbersome regulations on both sides and Russia’s restrictive visa regime.
Russia’s changed foreign policy posture:
Towards Pakistan:Russia in 2014 lifted arms embargo on Pakistan. Russia and Pakistan conducted a
military exercise in September 2016. In 2017, a military-technical cooperation agreement was signed
which deals with arms supply and weapon development. All these factors raised concerns in India.
Towards China:Increasing strategic military relations between Russia China also impacted India
Russia relations. Russia has sold advanced military technology to Beijing, endorsed China’s One Belt
One Road and has urged India to overcome its objections to it. There has also been concern about
Moscow leaning toward Beijing in forums like the BRICS.
Towards Taliban: Russia is showing inclination towards Taliban in Afghanistan while India continues
to have concerns about the group.
Steps taken to address the downturn in relations