During his official visit to India on October 4-5, Russian President accompanied by Indian Prime Minister Narendra Modi, attended the closing ceremony of the Russian-Indian Business Forum, the presidential webpage reports.
In his address to the Forum participants, the President noted, that “More than 100 heads of major companies from our countries are present in this room. This emphasizes the seriousness of the business community’s intention to build up Russian-Indian cooperation in trade and investment.
“The Prime Minister and I prioritize the development of trade and investment ties between Russia and India. This topic has traditionally been central to our talks and of course. Lasting, elaborate economic cooperation and economic contacts are a reliable basis for intensifying the relations of special privileged strategic partnership between our two countries.
“We noted with satisfaction the steady growth of bilateral trade. In 2017, it increased by 21%, or $9.3 billion, and was up by another 20%, this time $6 billion, in January-July. At this rate, it will get to $10 billion and above. Meanwhile, the impressive technological, resource and human potential of our countries makes it possible to strive for even greater volumes of trade and investment. We have a target of increasing bilateral trade to $30 billion and mutual investment to $15 billion in each country by 2025.
“We should strive for more. However, to get there we will need Russian and Indian businesses to join efforts. Yet without improving industrial cooperation, or creating new technological and investment alliances primarily in advanced and high-tech industries, we will not be able to achieve that goal.
“All useful business initiatives will get support from Russian and Indian ministries and departments. The companies of the two countries will be actively involved in national industrial development programs and major infrastructure projects. The governments of Russia and India will continue to work together to remove the remaining customs and administrative barriers to mutual flows of goods and capital.
“Energy has traditionally been the key sphere of economic cooperation between Russia and India. Our country has been and will continue to be a reliable supplier of energy for the Indian economy. Joint projects in the area of liquefied natural gas deliveries are acquiring a strategic nature.
“Gazprom and India’s Gail are promoting mutually beneficial cooperation in this sphere. The first shipment of liquefied natural gas was delivered to India in June. The Indian state-run company ONGC is involved in the project to produce and liquefy gas at the Sakhalin-1 field; it has also joined geological exploration on Russia’s Arctic shelf, and has spent years working in the Vankorsky oil and gas condensate field.
“Rosneft has been successful in implementing its long-term contracts. Last year, the Russian company bought India’s Essar Oil refining corporation. This is the biggest foreign investment in the Indian economy, $12.6 billion.
“We welcome our Indian partners to join the work in the Arctic as well. This is a very promising, long-term and very serious project that looks decades ahead, one with good investment and good return. As the climate continues to change – in some places, this is good, and elsewhere perhaps not so good – the Northern Sea Route offers growing opportunities. We are building a nuclear-powered fleet, eight nuclear-powered ships, which will be steadily put into operation. This work is in progress. This will ensure reliable LNG supplies to the Indian and world markets.
“Russia is helping India to develop its nuclear power industry. Rosatom is building the Kudankulam nuclear power plant. An opportunity is being considered to build yet another nuclear power plant based on Russian technologies.
“Russian experts are working on a project to upgrade over 500 km of Indian railways. We are interested in stepping up systemic work on the building of the North-South corridor – this route will considerably reduce the time for the delivery of cargoes from India to Europe.
“There are also other very interesting and promising high-tech areas where we can cooperate: aviation, space and a number of other spheres, such as medicine and pharmaceuticals.
“I would like to lay special emphasis on our interest in the expansion of Indian business in Russia. We are trying to create the most comfortable environment for attracting technology and investment. Investors are granted significant incentives; administrative regulations are simplified and modern infrastructure is being developed.
“Russia has a powerful trade and industrial potential. Our economy has shown its ability to cope with the most complicated and acute challenges. We are setting forth new ambitious tasks to achieve a breakthrough in development and long-term growth and modernization of industry, infrastructure, and the social sphere.
“Russia’s macro-economic performance is demonstrating positive dynamics. We have ensured the stability of government finances, the country’s gold and currency reserves are increasing and we currently have a federal budget surplus.
“The situation in the labor market is also improving and this is creating favorable conditions for work. Unemployment stands at 4.7% and the growth of real salaries is 8.7% (the highest figure since 2012).
“We hope Indian business circles will make full use of the opportunities that are opening up in the Russian market. In turn, we support Russian companies in their aspiration to work more actively in India. We know of the Prime Minister’s plans under the Make in India program and will of course do everything to support their implementation”.