Import and Export opportunities to tap with $100 Billion Trade Deal signed by PM Modi and Vladimir Putin Between Russia and India

Following India’s Prime Minister Narendra Modi’s official visit to Russia with President Vladimir Putin, a solid basis has been established between the two countries to advance bilateral trade and economic ties. The trade roadmap aims to reach a target of $100 billion (Rs. 8.34 lakh crore) in annual trade volume by 2030. Every import-export entrepreneur should take into account this as one of the best import-export prospects for growing their company.

Improving is the aim.

• Improving import-export trade structure and trade procedures/processes is the aim.
• putting a focus on Indian Rupee (INR) transactions
• Providing duty benefits and improving assistance with logistics
• Emphasis on “Made in India” goods

Why does India desire the volume, growth, and balance of trade with Russia to reach new heights?

1. In 2023, trade between India and Russia hit a record USD 65 billion.
2. a notable 66% increase in commerce the year before and a further 20% increase in trade in the first quarter of 2024.
3. In 2023–2024, India and Russia had a $57 billion trade deficit.
4. India is eager to expand its exports to Russia as a result.

Important Choices and Initiatives

1. Taking Down Trade Barriers: Russia and India share the goal of lowering obstacles to promote easier trade.
2. Local Currency Exchange: To lessen reliance on the US currency and control exchange rate risks, a mechanism for transactions utilizing Indian Rupees (INR) has been introduced.
3. Simplified Customs Procedures: By streamlining customs procedures, India and Russia can expedite the process and flow of profitable trade.
4. Better Routes for Connectivity: establishing new land and sea transportation routes, like
5. Infrastructure and Energy Investments: To promote the expansion of commerce, concentrate on raising investments in the energy sector and infrastructure development.
6. Diplomatic Developments: establishing two new consulates in order to improve India-Russian ties in:
   Both Yekaterinburg and Kazan
7. Understanding Memoranda (MoUs): 22 Memorandums of Understanding were signed in a variety of fields, such as those on pharmaceutical certification, legal arbitration, and climate change.
8. Business Engagement and Relations: To strengthen business ties, arrange business-to-business meetings, business promotion activities, and delegation exchanges.

Trade Dynamics: Opportunities for Import and Export
1. INR Trade: A Revolution

Trading in Indian Rupees [INR] is a crucial component of this trade strategy since it lessens reliance on the US currency, transaction costs, and exchange rate risk. for Indian exporters to expand their enterprises by offering a steady stream of income and fostering an atmosphere that is conducive to economic growth.
Takeaway: Learn to prepare the price in Indian rupees (INR) rather than US dollars using Incoterms (CIF or FOB).

Benefits of Duty: Facilitating Trade To encourage commerce, Russia and India have both decided to provide duty benefits on a variety of items. Indian goods will have a stronger competitive advantage in the Russian market because to these import duty exemptions and reductions, which will motivate exporters to diversify and increase their product lines.
Conclusion: Pay attention to any exemptions or perks the government may announce. As soon as it is declared, the Skylighted will appropriately announce it!

 Logistics Support: Efficacious Supply Chain Operations

This roadmap focuses on better logistics support. The time and expense involved in moving goods between India and Russia will be greatly decreased by enhancing infrastructure and transportation connections. It is anticipated that improved logistics efficiency will raise India’s overall competitiveness.

Takeaway: Research the three distinct trade roots listed above and determine ways to reduce logistical expenses to increase profit based on your region in India.

Which products should Indian exporters concentrate on right now?
The Skylighted is well-positioned to take advantage of these prospects because of its close relationships to a well-known grocery chain in Russia. To take advantage of all the import and export prospects, take a look at these intriguing products:

• Coffee, tea, mate, and spices are examples of agricultural products.
• Cotton, wadding, felt, nonwovens, yarns, and twine are all products of the textile industry.
• Boilers, nuclear reactors, and machinery are examples of engineering products.
• Energy, Food Products, and Fertilizer Coal and Oil
• Both inorganic and organic compounds
• Products Associated with Medicines
• Steel and Iron

The Top 10 Helpful Steps to Maximize All Import and Export Possibilities

1. Examine the market: Recognize Russian consumers’ needs and preferences.
2. Make Links: Build connections with Russian importers by utilizing the Skylighted network.
3. Use Duty Benefits: Make the most of duty reductions to set competitive prices for your goods.
   Trade in Indian Rupees: Trade Indian Rupees to lower currency risk.

1. Product Quality: In order to be sold in Russia, products must fulfil the necessary quality requirements.
2. Packaging Quality: Packaging should preserve items throughout transit and appeal to Russian consumers.
3. Logistics Function: Efficient, timely, and economical delivery is ensured by making the most of the enhanced logistical support.
4. Respect Regulations: Keep up of Russian import laws and make sure you’re following them.
5. Promote Your Brand: To increase brand awareness in Russia, take part in marketing initiatives.
6. Seek Professional Guidance: Collaborate with industry professionals and get advice from the skylighted resources.

Skylighted acknowledges this enhanced trade roadmap’s enormous potential. Our Skylighted is well-positioned to take advantage of all the import and export prospects because of its close relationships to a major Russian grocery chain. In our Export Business Launcher Masterclass, we are always interested in learning about the goods that a new exporter wants to ship to Russia.

We offer a flexible, comprehensive online export course and guaranteed support for your first shipment of all import and export chances for individuals who are dedicated to learning the whole export cycle and finishing the billion-dollar opportunity export shipment.