Tue Nov 12 17:30:00 UTC 2024: ## India and Russia Aim for $100 Billion Trade Target, But Challenges Remain

**New Delhi, India -** India and Russia are aiming to reach a staggering $100 billion in bilateral trade by 2030, with India expressing confidence that the target will be achieved even earlier. However, both sides acknowledged the need to address ongoing challenges to ensure a more balanced trade relationship.

During the 18th meeting of the Intergovernmental Commission on Trade, Economic, Scientific, Technical, and Cultural Cooperation (IGC-TEC) in New Delhi, External Affairs Minister S Jaishankar highlighted the need to address the significant trade imbalance, with India currently facing a deficit of almost $57 billion.

“Our goal is that [trade] needs to be more balanced,” Jaishankar stated, emphasizing the need for greater facilitative efforts to make trade easier. He also stressed the importance of progress in negotiations for the India-Eurasian Economic Union Free Trade Agreement (FTA).

While acknowledging “perceptible progress” in tackling challenges related to payments and logistics, Jaishankar emphasized that “there is still some work to be done,” likely referencing the impact of Western sanctions on Russia.

Russia’s First Deputy Prime Minister Denis Manturov concurred with the need to diversify the trade basket, noting a significant increase in trade volume over the past five years, with India now Russia’s second largest trade partner. Manturov also highlighted the ongoing efforts to settle trade in local and alternative currencies, reaching close to 90%.

The meeting saw both sides reaffirm their commitment to the $100 billion trade target, with 14 working groups and six sub-groups tasked with finalizing the economic cooperation program till 2030. Discussions encompassed areas such as trade, investments, hydrocarbons, nuclear energy, connectivity, agriculture, science and technology, IT, pharmaceuticals, healthcare, fertilizers, and education.

While ambitious, achieving the $100 billion target necessitates addressing existing constraints, including the trade imbalance and the complexities of trade under sanctions. Both sides remain optimistic, however, with India and Russia aiming to leverage their complementary economies and deep-rooted trust to achieve their shared goal.

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