The high-profile two-day visit of Russian Premier Vladimir Putin to India begins tomorrow. Arms and nuclear energy are expected to feature prominently in the trade deals to be signed between the two countries.
With Russian economy contracting by 7.9% last year, Russia is seeking options for its economic revival. After the oil-driven growth of last decade, Russia sees its defense sector as this decade’s savior. Premier Putin is believed to persuade its old ally India to purchase weapons, aware that Russia has to compete with the US in this regard. Russia may be forced to offer attractive incentives to sell its obsolete weapons.
In the weapons market, Russia is slowly but surely being edged out by the United States with their state-of-the-art military equipments and political coercion. Russia would definitely want to change this and would be seeking preferential treatment in the weapons purchase from its Cold War ally.
The arms deal between the two countries had soured many a time with inordinate delays regarding restoration of its old Russian-made aircraft carrier. However, last year the two countries had reached an informal settlement for a 10-year military cooperation deal, which also includes building a modern supersonic fighter aircraft similar to F-22 Raptor stealth fighter of the US air force.
Energy is another sector Russian Premier would be interested. Earlier, India and Russia had signed an oil-for-arms deal, by which India’s state-owned Oil and Natural Gas Corporation became a stakeholder in the Sakhalin-1 oil and gas project. However, during the last meeting between the two heads of state in Moscow in December, nothing substantial came through.
Premier Putin would also be pushing for the implementation of Russian satellite navigation system in India in place of the US’s Global Positioning System.
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