Putin hails ‘Make in India’, says investments in India profitable
MOSCOW/NEW DELHI: Russian President Vladimir Putin has hailed the ‘Make in India’ initiative and the policies of Prime Minister Narendra Modi’s government, stating that companies are eager to set up manufacturing facilities in India as investments there are profitable.
Speaking at the 15th VTB Investment Forum in Moscow on Wednesday, Putin remarked that the initiative, aimed at boosting manufacturing and attracting foreign investment, has played a key role in strengthening India’s position in the global economy.
The ‘Make in India’ initiative was launched on September 25, 2014, to facilitate investment, foster innovation, build world-class infrastructure, and establish India as a hub for manufacturing, design, and innovation.
Putin highlighted that India has created stable conditions for small and medium-sized enterprises (SMEs), while expressing Russia’s willingness to establish manufacturing operations in the country. “The Prime Minister of India and the Government of India have been creating stable conditions, and this is because the Indian leadership has been pursuing an ‘India comes first’ policy. We believe that investments in India are profitable,” the Russian President said.
“We would be ready to set up our manufacturing sites in India. Moreover, the largest investment in India’s economy, amounting to $20 billion by Rosneft, was made not long ago,” he added. Rosneft is the largest oil-producing company in the Russian Federation. Putin further noted that Russia’s import substitution programme is similar to India’s ‘Make in India’ initiative and commended India’s leadership for prioritizing its national interests.
He also called for greater cooperation among BRICS nations to support the growth of SMEs, encouraging member countries to identify key areas for collaboration at the upcoming summit in Brazil next year.
The BRICS bloc includes India, China, Russia, Brazil, and South Africa. Additionally, Putin pointed out the rise of new Russian brands replacing Western brands that exited the market, highlighting the success of local manufacturers in sectors such as consumer goods, IT, high-tech, and agriculture. “As part of the import substitution programme, we have witnessed the emergence of many new Russian brands replacing Western ones that voluntarily left our market. Our local manufacturers have succeeded not only in consumer goods but also in IT, high-tech industries, and agriculture,” he said. India and Russia, in July this year, agreed to boost bilateral trade to over $100 billion by 2030. The two countries aim to achieve this by revitalizing investments, using national currencies for trade, and enhancing cooperation in sectors such as energy, agriculture, and infrastructure. The bilateral trade between the two nations increased to $65.42 billion in 2023-24, compared to $49.4 billion in 2022-23. However, the trade gap remains heavily in Russia’s favour due to a surge in crude oil imports. From a market share of less than one per cent in India’s import basket before the Russia-Ukraine conflict, Russia’s share of India’s oil imports has risen to over 40 per cent.
