With the rapidly changing polarization in world politics, India should be wary of the next move of China & Russia’s take on it
The visit of Vladimir Putin to India on October 4th & 5th has raised serious speculations on the growing intimacy between Indo-Russia relationship. This was the third meeting in last one year between Prime Minister Narendra Modi & Russian President Vladimir Putin. In the last few years, there have been many developments in the ties of the two countries. Some of the prominent ones are:
The recent meeting has been held primarily on the lines of Defence, wherein the much-anticipated S-400 Triumf deal was signed. Russia also pushed for the Rupee-Ruble trade, so as to reduce the share of Dollar in the international market. This move of Russia is being seen as reducing dependency on the dollar.
With all the above developments, China is watching closely the growing intimacy between India-Russia relationship and it’s a worrisome state for China
Earlier this year, in July 2018, a strategic economic dialogue was scheduled to be held between India-Russia, which is now postponed to a later date. NITI AAYOG & the Russian Ministry of Economic Development will hold the dialogues, which will primarily focus on Joint Ventures in services & IT sectors.
Another important development has been, to use the Iran route for trade, in order to find an alternative route for BRI (Belt & Road Initiative) by China. Both sides have called for intensified efforts to develop International North-South Transport Corridor (INSTC), which will fasten the trade developments.
The field of Energy has been one of the most prominent interest-areas for both of the countries. India signed an agreement of building six more nuclear reactors with help of Russia. However, the main emphasis has been laid on manufacturing the components locally.
Another area of interest has been with the Oil & Gas Sector. Sakhalin’s main investor has been with ONGC Videsh while GAIL imports gas from Gazprom, Russia. ONGC Videsh has recently taken an additional 15% stake in the Vankorneft in Siberia from Rosneft, while Rosneft has a major stake in Essar Oil.
With all the above developments, China is watching closely the growing intimacy between India-Russia relationship and it’s a worrisome state for China. As the trade between Indo-Russia grows in different sectors ranging from Defence to Energy to Oil & Gas Sector and Strategic Economic Sector, it is sure to give China sleepless nights. Although, in the last few months, China has developed itself as an ally of Russia, by participating in Russia’s biggest war games- Vostok-18. Not only that, Russia has sold its latest military technology (S-400 & SU-35 Fighter Jets) to China. But these developments are a show-of-strength particularly to the West & clear indication of Russia’s growing rapprochement with China. As for India, Russia has provided its technology support in Nuclear Submarine, advanced S-400 Triumf Air Defense System, the sale of four Frigates to India, encouraged to develop International North-South Transport Corridor (INSTC) for trade. Such Defence Deals & Nuclear Energy Cooperation should strengthen the Indo-Russia relationship in coming time.
However, with the rapidly changing polarization in world politics, India should be wary of the next move of China & Russia’s take on it.
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