Warmth Summit

Russia and India will build a plane and fly to the moon

The results of yesterday's stay in Moscow by Indian Prime Minister Manmohan Singh allowed, according to leading Indian media, to dispel rumors about a “cold snap” between Russia and India . In the morning, the guest had negotiations with his Russian colleague Viktor Zubkov, and in the afternoon there was a meeting with President Vladimir Putin. “I hope,” the Russian leader told the Indian Prime Minister, “that, despite the winter weather in Moscow, you will still feel the warmth of our hearts and the kindest, most friendly attitude towards your country.” According to Mr. Putin, bilateral relations are “developing in the best possible way.” The guest emphasized the strategic nature of the cooperation and replied that he was “extremely pleased” with the visit to Moscow.

During the visit, an important intergovernmental agreement was concluded to expand the scope of use of funds received to repay India's rupee debt to the former USSR and Russia. Its total amount is $3 billion. Now one billion can be reinvested in joint projects within five years. Among them is a titanium dioxide production facility in the state of Orissa, where the Indian government is preparing to establish a special economic zone.

Part of the rupee debt will go towards the production of a multi-role transport aircraft for the air forces of the two countries. An agreement on cooperation in the implementation of this project was also signed yesterday. Manmohan Singh noted with obvious satisfaction that military-technical cooperation is “one of the pillars of the strategic partnership between Russia and India.” “Our decisions regarding a multi-role transport aircraft and a fifth-generation fighter are major steps in this area,” he emphasized. The agreement on the fighter jet was signed in Moscow in October.

Russia and India also agreed to cooperate in the fight against drug trafficking, and the space agencies of the two countries will explore the Moon together. Vladimir Putin noted that an important competitive advantage of Russia and India in the global market is “the integration of their efforts in the field of high technology.” Manmohan Singh responded with an expression of gratitude for his assistance in lifting the still existing international restrictions on nuclear cooperation with India. The guest said that the two countries are preparing an agreement on the construction with Russian participation of four reactors at the Kudankulam nuclear power plant in addition to the two already under construction. The starting point for this was the memorandum signed by Vladimir Putin in New Delhi in January of this year.

At the final press conference, Vladimir Putin said that the parties were going to explore the possibility of extending the experience of cooperation within the Sakhalin-1 oil and gas project (the Indians have already invested $1.7 billion in it) to new projects in Russia, India and third countries. Manmohan Singh pointed out the need to “explore those areas that connect us,” supporting Moscow’s desire to develop promising cooperation in the Russia-India-China trilateral format. The only thing that did not suit Vladimir Putin and his Indian guest was the low volume of bilateral trade turnover, which “does not yet correspond to the capabilities of our countries.” Last year it amounted to $4 billion. However, as his colleague Viktor Zubkov said at a meeting with Manmohan Singh, by 2010 trade turnover will increase to $10 billion - this will be facilitated by the upcoming events of the Year of Russia in India and the Year of Russia in 2008 and 2009 India in Russia.

“The Prime Minister of India came with the task of raising ties with Russia to a new level, which do not correspond to the potentials of the two countries and lag behind Russia’s cooperation with China,” Sergei Luzyanin, a professor at MGIMO of the Russian Foreign Ministry, told Vremya Novostey. The gap is almost tenfold, because this year the volume of trade between Russia and China may reach $40 billion. Moreover, just the other day the Year of China in Russia, which followed the Year of Russia in China in 2006, solemnly ended in Moscow. According to the newspaper’s interlocutor, “projecting the experience of the Russian-Chinese Years onto the Russian-Indian format may not be so successful if it is mechanical. India is not Russia’s neighbor; there is practically no systemic penetration between their regions.” In addition, “the energy prospects for oil and gas are also unclear” - after all, Russia and India do not have a large-scale bilateral project comparable to the construction of an oil pipeline to China.

According to the expert, at the negotiations in Moscow, the internal crisis in nuclear Pakistan, neighboring India, was undoubtedly discussed. “In addition, India, in its desire to position itself as a global power - in the sense of moving closer to the G8 and to the status of a permanent member of the UN Security Council - really needs Russian lobbying,” concluded Vremya Novostey’s interlocutor.

Alexander SAMOKHOTKIN