Modi will address the trade deficit and hold meetings with Putin with Indian soldiers

One of Prime Minister Narendra Modi’s major concerns during negotiations in Moscow next week would be resolving India’s economic imbalance with Russia and ensuring the release of Indians who were tricked into fighting in the conflict in Ukraine, a senior official said on Friday.

On July 8–9, Modi will travel to Russia to meet with President Vladimir Putin as part of the yearly summits that New Delhi and Moscow have been holding since 2000.

The timing of Modi’s visit—which falls between the NATO meeting in Washington on July 9–11, where the war in Ukraine will take center stage—has prompted concerns about the message India might be conveying.

The most senior diplomat in the foreign ministry, Indian Foreign Secretary Vinay Kwatra, however, denied any connection and stated that Modi’s visit was scheduled as part of the two nations’ summit calendar.

When asked about the visit by Modi, he told reporters, “The bilateral visit this time is just a scheduling priority that we have undertaken and that’s what it is.”

Although New Delhi’s historical links to Moscow date back to the Soviet Union, as it has liberalized its economy and deepened its geopolitical connections, it has recently grown closer to the West, particularly Washington.

In its own self-interest, it has simultaneously attempted to uphold what is regarded as strategic autonomy.

India has increased its purchases of inexpensive Russian oil to record levels, but has refrained from condemning Russia over its war in Ukraine and instead urged the neighbors to resolve their dispute through conversation and diplomacy.

IMPROVED EXPORTS

According to Kwatra, commerce between India and Russia increased significantly in 2023–2024, reaching about $65 billion “primarily due to strong energy cooperation.” However, just $4 billion of that total came from Indian exports.

He stated that India intends to “correct” trade imbalance by promoting exports in a variety of industries, including agriculture, technology, medicines, and services. “Trade remains imbalanced, which is a matter of priority in our discussions with the Russian side,” he said.

When asked how India will respond to the sanctions put in place by the G7 on Russia for its invasion of Ukraine, Kwatra replied that discussions about the matter have been held in New Delhi.

“We have been in very regular touch with G7 essentially to protect and progress our national interest and our national needs … whether it relates to diamonds or it relates to other sectors of industry and economy,” he stated.

According to Kwatra, Modi will also address the issue of Indian nationals who were “misled” into joining the Russian army being released from service early.

This year, there have been numerous reports of Indians being drawn to Russia by the prospect of well-paying jobs or educational opportunities, only to end up fighting against Ukraine. At least four Indian nationals have died in the conflict.

According to observers, Moscow is taking advantage of Modi’s visit to present the impression that Putin is hosting a leader of the caliber of India.

According to them, it helps Modi ensure that Russia is not fully in China’s corner and also stops the perception that India-Russian relations are drifting.