Agri Trade with Russia Poised for Expansion

05-Dec-2025 08:58 PM

New Delhi. Russian President Vladimir Putin's two-day visit to India is expected to open several new doors for bilateral trade, including products and goods from the agricultural engineering and pharmaceutical industries. India produces a surplus of many agricultural products,

which Russia lacks and imports from other countries. Several agreements were signed between the two countries today, December 5th, which is expected to increase the export of Indian products to Russia.

Russia has a vast agricultural market. It is the largest exporter and third-largest producer of wheat. Furthermore, it also exports maize, barley, oats, peas, lentils, chickpeas, sunflower oil, and rapeseed oil in significant quantities,

making it difficult for India to export these agricultural products there. India is not a significant exporter of these products, and Russian products are much cheaper.

However, Russia produces less rice, peanuts, and sugar, and could increase its imports from India. Similarly, there is a shortage of dairy products and seafood, which India can fill. India's exports to Russia of spices and seasoning products, as well as some dried fruits, especially cashews, could increase.

Russia previously lacked interest in purchasing Indian products due to their low quality, but now its attitude has changed significantly, as the quality of Indian products has now reached world-class standards and the relationship between the two countries has strengthened significantly.

The bilateral trade balance between Russia and India is heavily tilted in Russia's favor, and there is a growing need to reduce it.

Interestingly, India's trade deficit has increased solely due to crude oil. If this is excluded, bilateral trade between India and Russia is currently very low.