Geostrategic Media Political Commentary, Analysis, Security, Defense
Kester Klomegah
In this interview, Pradeep Mehta, Secretary General of the Jaipur-based Consumer Unity and Trust Society (CUTS International) and Honorary Adviser to the Commerce and Industries Minister of India, discusses the significance of the visit of Russian President Vladimir Putin (December 4-5, 2025), its implications and future perspectives for Indian-Russian business, with Kester Kenn Klomegah.
Several important agreements were signed as part of the bilateral dimension of the visit—both sides sought to strengthen their partnership under the umbrella in New Delhi. Here are the interview excerpts:
1. Russian-Indian Relations Development: Putin’s first visit since the Russia-Ukraine conflict, marked by Modi’s unprecedented airport embrace and private dinner, demonstrates the enduring strength of this partnership despite Western pressure. The visit represents a strategic reaffirmation of old and strong ties. This twenty-third annual summit celebrated 25 years of their “Special and Privileged Strategic Partnership,” though with a notable pivot, defense announcements were conspicuously absent, signaling a shift from traditional arms-centric ties toward economic diversification and people-to-people links. This isn’t merely transactional; it reflects a bond forged through shared experiences, mutual respect, and political consistency across generations.
2. Significance for Indian Business and CUTS International: The visit produced practical outcomes: a labor-mobility pact for Indian skilled workers, 30-day e-visas (first announced by Russia for Indians and now India reciprocating the same), joint ventures on fertilizers, and maritime/customs agreements advancing national-currency trade. Both leaders pledged uninterrupted energy supplies and a $100 billion trade target by 2030 from the current $68 billion. Alas, severe trade imbalance persists with Indian imports at $63.84 billion versus exports of only $4.88 billion. However, we could see a surge in Indian exports to Russia and, more so, joint ventures with Russia in numerous areas, including cyber and space.
For CUTS International, as we have already been working on various trade-related areas with Russia and having many friends there, this visit will most certainly buttress our commitment to work further to strengthen multilateral forums such as BRICS, WTO, and G20, among others, especially given the fact that the next chair of BRICS in 2026 is India. More so, we recently organised a brainstorming session on coming together of four countries (US, China, Russia and India) grouping, we named ‘Quadro’. Lastly, as the development aid has been held back by the US in Africa, we could look at India-Russia-backed development aid-funded projects here.
By the way, we have also done a feasibility study for a bilateral free trade agreement with the Eurasian Area Economic Union (for our Commerce Ministry), of which Russia is the biggest member. It showed positive gains for both India and EAEU as much of the costly imports from Europe into EAEU members can be supplied by India.
3. India’s Economic Presence in Russia: Despite ambitious targets, India’s economic footprint remains modest and import-heavy. The trade imbalance is stark, with a “rupee surplus problem” emerging as billions accumulate in Special Rupee Vostro Accounts. As mentioned earlier, the labour-mobility agreement and joint ventures on fertilisers represent efforts to deepen engagement beyond energy imports, but Indian investment and broader service-sector presence in Russia remain underdeveloped, highlighting significant room for growth if both nations genuinely pursue the economic diversification agenda. If and when the India-EEC FTA is signed, then the presence will deepen.
4. Geopolitical Challenges and Future Predictions: The visit served dual purposes: for Russia, political legitimacy; for India, demonstrating strategic autonomy, multialignment, and valuing old friendships. Yet challenges loom—the Trump administration’s 50% tariffs explicitly target India’s Russian oil purchases, and Russia’s deepening China ties complicate matters given India-China tensions. However, against the backdrop of the China-Pakistan-Bangladesh nexus, closeness to Russia offers a strategic option.
From CUTS International’s perspective, the relationship will likely continue as “strategic diversification” as India maintains Russian energy and selective defense ties while deepening Western partnerships, particularly with the US. Unlike transient partnerships, this bond’s generational consistency suggests resilience, though the economic relationship must mature beyond its current import-dependent structure.
The prospect of the Russia-Ukraine war ending in peace appears rather dim; hence, it will continue to remain a challenge to India’s stoic aloofness and friendship with Russia.
5. Global South Limitations and Internal Differences: The Global South faces profound heterogeneity, particularly on climate change and natural disasters, where major emitters contrast sharply with vulnerable low-income countries. Cooperation mechanisms remain fragmented and regionalised. Infrastructure gaps, development financing difficulties, and significant economic disparities among member states compound these challenges. However, organizations like the G20 and BRICS (with more new members from the south in 2025) present a coherent alternative vision to existing global governance structures.
The US’s boycott of the G20 summit in South Africa and its statement of not inviting it to the next G20 summit in Miami, USA, are very undiplomatic and unconducive to global peace and cooperation. Furthermore, the US’s misbehavior towards an expanding BRICS is also worthy of strong criticism.
