India–Russia trade: Piyush Goyal pushes for balanced trade ties ahead of Putin’s high-stakes visit

Commerce and Industry Minister Piyush Goyal on Thursday set the tone for a renewed push in India–Russia economic engagement, stating that both countries have “huge opportunities” to expand bilateral trade and work toward a more balanced partnership. Speaking at the India–Russia Business Forum organised by FICCI, Goyal stressed that while trade is nearing USD 70 billion, India cannot afford to remain complacent. “We need to grow, we need to balance that,” he said, underscoring the urgent need to reduce the sharply skewed trade equation.

Goyal highlighted several sectors that hold strong potential for expanding Indian exports to Russia. These include consumer goods, food products, automobiles, tractors, heavy commercial vehicles, smartphones and other electronics, industrial components, and a wide range of textiles. He added that India’s services sector—already a global strength—can also contribute significantly to enhancing trade with Russia.

Currently, India’s exports to Russia stand at USD 4.9 billion, compared with imports of USD 63.8 billion in 2024–25. This leaves a massive trade deficit of around USD 59 billion, driven largely by energy imports. Both sides have set an ambitious target of USD 100 billion in bilateral trade by 2030, but New Delhi has made clear that the growth must come with greater balance.

Russian officials echoed this need for rebalancing. A senior Russian government representative noted that India’s share in Russia’s total imports remains below 2%—a figure that needs to rise meaningfully. He identified six major areas where India could sharply increase its exports: agriculture, pharmaceuticals, telecom equipment, industrial components, and skilled human resources. Indian officials also stressed the importance of simplifying procedures and removing bottlenecks to boost outbound shipments to the Russian market.

Putin’s India visit to focus heavily on trade

The backdrop to these discussions is Russian President Vladimir Putin’s return to India—his first visit since 2021 and since the start of the Ukraine conflict. Trade will dominate his talks with Prime Minister Narendra Modi, with both sides preparing to sign around 10 inter-governmental agreements and 15 commercial deals, signalling strong intent to deepen economic engagement.

India is particularly keen on expanding exports of pharmaceuticals, chemicals, engineering goods, machinery, automotive products, agricultural commodities, and marine goods to the Russia-led Eurasian Economic Union under a proposed trade agreement that is currently in negotiation. To address the wide trade deficit, New Delhi has already flagged more than 65 non-tariff barriers affecting Indian marine exports to Russia and identified four categories of hurdles impacting pharma shipments—registration, clinical trials, market access restrictions, and price registration.

Putin’s full schedule in New Delhi

Putin will receive a ceremonial welcome at Rashtrapati Bhavan at 11 am on December 5, followed by a wreath-laying ceremony at Rajghat at 11:30 am. At 11:50 am, he will meet Prime Minister Modi at Hyderabad House for delegation-level talks. Press statements from both leaders are expected around 1:50 pm. Putin will then attend a business event at 3:40 pm, with the venue yet to be confirmed by the MEA. After the 23rd India–Russia Annual Summit, where several agreements are likely to be signed, Putin will meet President Droupadi Murmu at Rashtrapati Bhavan at 7 pm before departing New Delhi around 9 pm.