As we know, India and Russia have had strong bilateral relations since the Cold War era, and their trade ties are a crucial component of this partnership. India's export-import relations with Russia have developed significantly in the past decade, and both countries have been working to increase their trade volumes. India's major exports to Russia include petroleum products, pharmaceuticals, engineering goods, chemicals, and textiles. India has been the world's leading exporter of generic drugs for many years. In this blog, we will discuss India’s export-import relations with Russia.
India's Trade with Russia
India and Russia have had a strong trade relationship for several decades. The trade between the two countries is based on a wide range of products, including raw materials, machinery, and agricultural goods. In recent years, both countries have expressed their willingness to strengthen their economic ties and increase their trade volumes.
As per export-import trade data of the Department of Commerce, bilateral trade during FY 2021-22 amounted to $13.2 billion. However, Indian exports amounted to $3.26 billion, while imports from Russia amounted to $9.86 billion. As we see the reports for April-August 2022, the bilateral trade has soared to an all-time high of $18.23 billion with India’s imports of $17.23 billion, while India’s exports to Russia amounted to $992.73 million according to Russia Export Data.
As per the latest Russian trade data, India mainly imports raw materials from Russia, such as oil and gas, coal, and precious metals. These products form a significant share of the Indian energy and manufacturing sectors. India also imports machinery, transport equipment, and electronics from Russia. The two countries have been working together to develop joint ventures in the manufacturing sector, especially in the field of defense equipment and space technology.
On the other hand, India primarily exports agricultural products, pharmaceuticals, and textiles to Russia. India is one of the world's largest producers of cotton, and this has been a significant export to Russia. India is also a major exporter of generic drugs, and this has been another area of collaboration between the two countries. According to export-import trade data, India and Russia have set a target of increasing their bilateral trade to $30 billion by 2025. This will be achieved by increasing the exports of Indian products to Russia and by diversifying the product range.
Top 5 Goods Import from Russia to India
Here are the top 5 goods that Russia exports to India, which could be relevant for 2022:
- Crude oil and petroleum products: Russia is a major producer of oil and petroleum products, and India is one of its top importers. India's energy demands are growing rapidly, making oil and gas imports from Russia important for its economy.
- Diamonds: Russia is also a significant producer of diamonds, and India is one of the largest markets for diamond jewelry. In recent years, Russia has increased its diamond exports to India, which could continue in 2022 according to Russia Import data.
- Metals and metal products: Russia is a major producer of metals like steel, aluminum, and copper. These metals and their products are essential for India's industrial development and infrastructure projects, so they are likely to continue to be a significant import for India in 2022.
- Fertilizers: Russia is one of the largest producers of fertilizers in the world, and India is one of the largest consumers. India's agriculture sector depends heavily on fertilizer imports, and Russia's supply is crucial to meet the demand.
- Defense equipment: Russia is a major supplier of defense equipment to India, including fighter jets, tanks, and submarines. As India modernizes its military, it will likely continue importing defense equipment from Russia in 2022.
Top 5 Goods Export from Russia to India
According to the data provided by the Observatory of Economic Complexity, the top 5 goods exported from Russia to India are:
- Crude petroleum: This is by far the largest export category, accounting for over 70% of all Russian exports to India. In 2020, Russia exported $4.1 billion worth of crude petroleum to India as per the Russian export data.
- Refined petroleum: This includes various petroleum products such as gasoline, diesel, and jet fuel. In 2020, Russia exported $1.1 billion worth of refined petroleum to India.
- Coal briquettes: According to export-import trade data, in 2020, Russia exported $647 million worth of coal briquettes to India.
- Diamonds: Russia is a significant producer of diamonds, and in 2020, it exported $385 million worth of diamonds to India.
- Copper: Russia was also a significant producer of copper in 2020. According to export data from Russia, it exported $307 million worth of copper to India.
Why is India Importing from Russia?
India imports a wide range of products from Russia, including crude oil, natural gas, coal, fertilizers, precious metals, machinery, and defense equipment.
Here are some reasons why India imports from Russia and the benefits it gains:
- Energy security: India is heavily dependent on imported crude oil and natural gas to meet its energy needs. Russia is one of the world's leading producers of oil and gas, and India imports a significant amount of these resources from Russia. Diversifying its sources of energy supply helps India ensure its energy security.
- Strategic partnerships: India and Russia have a long-standing strategic partnership dating back to the Cold War era. The two countries share similar views on global issues and have cooperated on a range of issues, including defense and space exploration.
- Economic benefits: Importing from Russia provides India with access to affordable raw materials and finished goods. Russia has a highly developed manufacturing sector and produces high-quality machinery and equipment that India can import to meet its domestic needs.
- Defense procurement: Russia is a major supplier of defense equipment to India. The two countries have cooperated on various defense projects, including the development of fighter aircraft, submarines, and missile systems.
- Diplomatic benefits: Importing from Russia helps India strengthen its diplomatic ties with the country. The two countries have a history of cooperation and have built trust and mutual respect over the years.
How to Get Russia Export Data?
As we know, India imports from Russia to ensure energy security, benefit from strategic partnerships, gain access to affordable raw materials and finished goods, procure defense equipment, and strengthen diplomatic ties. There are various platforms that provide the export and import trade data for Russia and other countries. EximPedia.app is one of the best platforms where you obtain detailed, accurate, authentic, and reliable Russian export data. At EximPedia, you can analyze 100+ countries' trade data and provide useful information to traders or businesses. So if you have any queries regarding the Export data of Russia, connect today to obtain the best market analysis reports for your business.