India and Russia hold high-level talks in Moscow

Indian Foreign Minister is visiting Russia as New Delhi gears up to host Russian President Vladimir Putin

Indian Foreign Minister S. Jaishankar is in Russia for high-level talks as the two countries prepare for Russian President Vladimir Putin’s visit to India next month and step up bilateral cooperation amid rising geopolitical tensions.

Jaishankar will discuss trade and defense cooperation in Moscow, where he and Russian First Deputy Prime Minister Denis Manturov will co-chair the 27th Session of the India-Russia Inter-Governmental Commission on Trade, Economic, Scientific, Technological and Cultural Cooperation (IRIGC-TEC) on Monday.

The Indian foreign minister will also discuss regional and global issues with his Russian counterpart, Sergey Lavrov, the Indian Foreign Ministry said in a statement.

The IRIGC‑TEC is one of the pillars of the India‑Russia Intergovernmental Commission (IRIGC), a mechanism to monitor bilateral progress across trade and economic cooperation, which was established in 1992. The relationship between the two traditional friends, which endured through the Cold War, has deepened as Western countries have tried to use economic and trade levers to isolate Russia and punish countries friendly to Moscow.

Putin is set to visit India for the BRICS summit to be held under India’s rotating presidency on September 12-13 in New Delhi. The two countries set a bilateral trade target of $100 billion to be reached by 2030 during the Russian leader’s last visit to India in December.

India-Russia bilateral trade has boomed since then, with India now the second largest importer of Russian oil. However, the threat of steep US tariffs on countries buying Russian oil, under a new sanctions bill that has cleared the US Senate, looms over New Delhi. India has consistently maintained that its purchases of Russian oil are driven by energy security concerns and ensuring affordable energy for its 1.4 billion population.

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Both countries are also looking at local currency settlement of trade transactions and linking payment systems as they seek to address the large trade gap created by lower Indian exports. Other topics of bilateral economic interest include the Northern Sea Route, also known as the Arctic route, a promising sea route along Russia’s northern coast through which Indian plans to send its first ship next year, and a recent plan mooted by Russia to build a rail link to India.

New Delhi and Moscow are also expected to discuss a possible sale of Russia’s advanced fifth-generation stealth fighter, the Su-57. In June, Putin noted in a Q&A session with global news agencies that Russia offered the plane to India as a joint project. “We are ready to supply India with this aircraft, to keep developing it,” he said. “We don’t have any issues or limitations. The same goes for air defense systems.”

READ MORE: India to send first ship along Arctic route next year – official

Some reports have said New Delhi declined the offer, and instead plans to prioritize upgrades of its workhorse Su-30 MKI fighter aircraft. However, talks have continued behind the scenes, as the Indian Air Force seeks to fill its stealth fighter gap amid reports that arch-rival Pakistan could soon field Chinese J-35 stealth jets.