FIEO emphasises growth & opportunity ahead of India–Russia Business Forum during President Putin’s visit

New Delhi, November 28, 2025: The Federation of Indian Export Organisations (FIEO) welcomes the upcoming state visit of Russian President Vladimir Putin to India on 4–5 December 2025, and the accompanying India–Russia Business Forum, as a timely platform to enhance and deepen economic and trade cooperation between India and Russia.
 
The recent trade data shows that India’s exports to Russia was USD 1.84 billion, while imports touched USD 26.45 billion during the April-August 2025-26 period. Earlier Merchandise trade to Russia soared to a record USD 68.7 billion in FY 2024-25, with an exports of around USD 4.88 billion and imports largely comprising crude oil, petroleum products, fertilisers and other raw materials, which accounted for USD 63.84 billion. The bilateral trade in goods has expanded more than five-fold over the past four years starting from 2021, at around USD 13 billion to USD 68 billion in 2024-25.
 
While this remarkable growth underscores strong energy and commodity-based ties, however with the trade imbalance in Russia’s favour, which has also widened significantly, FIEO President, S C Ralhan is of that there is lot of potential for exports to Russia lies in sectors like pharmaceuticals, engineering and electronics, agro-products, auto & auto-components and IT services, which are experiencing high demand due to changing market dynamics. Besides, the exit of many Western companies from Russia has created a significant opening for Indian exporters to fill the void in various sectors, added Mr Ralhan. At the same time, both nations have also outlined an ambitious long-term goal to raise bilateral trade to USD 100 billion by 2030.
 
FIEO Chief also said that bilateral investments still remain significant and have grown over the years with a target of USD 50 billion by 2025. Russian investments in India span sectors such as oil & gas, petrochemicals, banking, railways and steel, while Indian investments in Russia are mainly in oil & gas and pharmaceuticals.
 
The revival and expansion of logistics corridors like the International North-South Transport Corridor (INSTC) have also made bilateral trade between the nations more cost-effective, added Mr Ralhan. He further reiterated that the upcoming India–Russia Business Forum scheduled during President Putin’s visit represents a critical opportunity for Indian exporters, investors and Russian counterparts to pivot from energy-led trade to a more diversified, sustainable trade and investment relationship.
 
“This Business Forum comes at a pivotal moment for India-Russia trade. While the surge in trade volumes shows the strength of our economic ties, we must now capitalise on this momentum to diversify into non-oil sectors — engineering goods, chemicals, pharmaceuticals, agriculture, textiles, leather, gems & jewellery, and value-added manufactured goods. The Forum should pave the way for balanced, long-term trade and mutual investments,” said S C Ralhan, President, FIEO.
 
FIEO sees especially strong potential in expanding Indian exports of high-value goods pharmaceuticals, chemicals, engineering goods, as well as services (IT/ITES, education, healthcare, while encouraging Russian investments in India’s infrastructure, manufacturing, green energy, railways, mining and technology sectors. Besides, supporting MSMEs, exporters and SMEs to explore Russia as a market — with institutional facilitation and bilateral trade missions would provide further boost to the India’s exports sector.
 
FIEO also highlights the need for addressing market access challenges faced by Indian exporters in key sectors such as marine products, dairy and pharmaceuticals. The Federation emphasises that these categories continue to witness strong and sustained demand in the Russian market, and urges the Russian side to prioritise the resolution of regulatory and procedural barriers that currently limit their entry. Facilitating smoother access for these high-potential product segments, FIEO President exuded confidence that this would not only help diversify and rebalance bilateral trade but also contribute to strengthening long-term economic cooperation between the two countries.