EFFECTIVE UTILIZATION OF RUPEE REPAYMENT
FUNDS TO INCREASE INDO-RUSSIAN TRADE: SINHA

November 28, 1998

The Finance Minister, Shri Yashwant Sinha has said that India would consider reducing the value addition norms of exports of high-tech items from India to Russia under the debt repayment route. He said that transparent, predictable and effective utilization of rupee repayment funds for import of quality products from India, both traditional and non-traditional, will help in increasing the bilateral trade. Shri Sinha made these remarks in his statement at the 5th Session of the Indo-Russian Inter-Governmental Commission (IGC) last night in Moscow. Shri Sinha further said that India looked forward to receiving the reaction of the Russian side on the set of draft guidance on investment into projects in India out of debt repayment funds, forwarded by India last year.

Stating that the existing bilateral trade is not commensurate with the true potential of both the country, the Minister said that efforts are underway to put in place long term trading arrangements for export from India of items such as tea, tobacco and pharmaceuticals including medical equipment, as well as export from Russia of fertilizers, newsprint and metal products. "Designated agencies on either side have recently been identified to implement such arrangements, and we should quickly move ahead towards finalising them", he added.

Shri Sinha in his statement also said that documents on long term cooperation in the trade, economic, industrial, financial, scientific and technological sectors would be signed during the next high level Indo-Russian interaction.

Shri Sinha highlighted upon the progress made in the transport, power, petroleum and natural gas and coal sectors and said that he looked forward to deeper cooperation in these areas between the two countries. As regards information technology, Shri Sinha said India and Russia have identified areas of mutual interest including import by India from Russia of silicon wafers and solar cells and export by India to Russia of colour picture tubes, computer softwares and other high-tech items.

He expressed India’s satisfaction on the progress made in tackling the issue of pending exports and non-export claims due to Indian organizations and individuals since 1991 and hoped that these matters would be completely resolved through close consultations between the RBI and Russian BFEA.

Shri Yashwant Sinha expressed satisfaction on the working of the Indo-Russian Inter-Governmental Commission and added that since its establishment in 1994, the IGC has evolved to become the prime vehicle for the promotion of bilateral cooperation in a very wide range of areas. However, we must impart qualitatively new character and long term perspective to our multi-faceted ties and actively develop them into the 21st century, he added.

The Finance Minister expressed Indian interest in resorting to consignment exports to ensure prompt and regular availability of Indian goods on the Russian market. For these the necessary banking arrangements have been made earlier this year, he added.

INDIA AND TATARSTAN TO FURTHER COOPERATION IN OIL SECTOR

 November 24, 1998

The President of Russian Republic of Tatarstan, Mr. M.S. Shaimiev called on Shri V.K. Ramamurthy, Minsiter for Petroleum & Natural Gas to discuss the possibilities of further smoothening of process of cooperation with India in the oil sector. The two dignitaries deliberated on Indian participation in the oil exploration and production in the Republic which is seeking investments in its oil rich areas. Shri Ramamurthy informed that the ONGC Videsh Limited (OVL) which is an overseas operating arm of ONGC, is evaluating the data on the small fields sent to it by Tatneft, one of the largest oil companies in Russia.. He said that some more information have been sought by OVL for expeditious decision in this regard.

Referring to his recent fruitful visit to Russia, Shri Ramamurthy said that the long standing a cultural, political and economic friendship between the two countries need to be pursued vigoriously in the economic arena. He said the large and rising demand for petroleum products in India and the surplus of this resource in Russia, particularly, in the Republic of Tatarstan provide appropriate atmosphere for building long term relation in this sector. India has adopted strategy to pick up oil equity in other countries to meet this demand and it, therefore, has keen interest in the proposals of Tatarstan for developing its medium and small oil fields.

Mr. M.S. Shaimiev acknowledged the friendly ties between two countries which has a long history and stressed that the two countries could utilise the strengths of each other for forging ahead in their friendly relations. He offered an invitation to the Minister to visit the Tatarstan. Mr. Shaimiev led a high level delegation of Tatarstan during the discussions with Shri Ramamurthy.

INDO-RUSSIAN WORKING GROUP SIGNS PROTOCOL ON
FUTURE COOPERATION IN COAL SECTOR

Major projects/areas of ongoing cooperation between the Indian and Russian coal Industry are Jhanjra Underground Project of Eastern Coalfields Ltd., Khadia and Nigahi Opencast projects of Northern Coalfields Ltd., Tipong Underground Mine and detailed engineering designs for coal preparation plants.

Fifth meeting of the Indo-Russian Working Group agreed on the further technical advice on Jhanjra Project to achieve targetted coal production and to consider updated technology for explosive preparation works with use of Machine KSM 2000 R on a global competitive bidding basis, In lignite related areas cooperation was sought in respect method of segregation of Marcasite in lignite seam; possibility of exploiting deep seated lignite in MANNARGUDI and BAHUR fields; available technology with minimum environmental hazards for loosening the hard formations and method of fly ash disposal.

For manufacturing of simplest explosives and technology of charging of the blast holes with the help of polyethylene hoses Russian companies were advised to persue the matter with Indian Explosive manufacturers.

Russian side agreed to deliver the spare parts for Russian Equipment being used in India as and when there is necessity for the same.  Both sides agreed that CMPDIL and GIPROSHAKHT will duly negotiate the extension of validity of MOU and to make necessary amendments or changes, if required.  Both sides noted that the preparations of Master Plan for development of Talcher, Ib valley and Korba Coalfields is progressing satisfactorily.

The protocol was signed by Mr. N.N Gautam, Advisor (Projects) Ministry of Coal and Mr. G.A Kassikhin, Head of the Department of Coal Industry in the Ministry of Fuel and Energy of the Russian Federation.

INDIA AND RUSSIA TO WIDEN COOPERATION
IN INFORMATION TECHNOLOGY

 October 29, 1998

India and Russia are to widen their cooperation in the information technology sector. This emerged at a week long fifth meeting of the Indo-Russian working group on information technology currently underway in New Delhi. The two sides will be signing a protocol on this tomorrow. The working group forms a part of the framework of Indo-Russian Inter-Governmental Commission. The Indian side was led by Shri Ravindra Gupta, Secretary, Department of Electronics and the Russian delegation by Shri A.P. Manoshkin, Head of the State Committee for Communications and information.

Both the sides reviewed the progress and action taken on the decisions of the last meeting of the working group. Besides new proposals, the working group has been discussing issues and subjects related to hardware, software, information technology in education, information technology in electronic governance, hi-tech habitats, cyber laws, hi-tech electronic and information technology products, information technology related materials technology and production and products certification and standardisation.

Before the plenary session started, the Secretary, Shri Ravindra Gupta said both the sides noted that while significant progress has been made in bilateral trade and cooperation in this area, there is scope for further enhancement. Shri Gupta said that as the information and electronics sector is enjoying a high growth rate in the world economy, there are immense potential business benefits that can accrue to both the countries through closer cooperation. Shri A.P. Manoshkin expressing satisfaction at the discussions said both sides have also agreed for joint production.

INDIA AND RUSSIA AGREE TO ENHANCE COOPERATION
IN ELECTRONICS AND INFORMATION SECTOR

India and Russia signed a protocol to enhance their cooperation in the electronics, computer and the information technology sector. This follows a weeklong session of the fifth meeting of Indo-Russian working group on information technology, which is part of the framework of Indo-Russian Inter-Governmental Commission. The protocol was signed by Shri O.N. Vaid, Joint Secretary, Department of Electronics for India and by Shri A.P. Manoshkin, Head of the State Committee for communication and information of the Russian Federation.

Both sides have agreed for cooperation in a number of areas, which include trade, commerce, electronic governance and policy-related issues. This is besides agreement on certification of electronics and information technology products including software, strategic electronics, microelectronics, electronic components and materials, information technology software and digital exchanges.

The Russian side noted Indian capabilities in the information technology offered particularly in the area of software production and exports to US and Europe. They agreed to increase the volume of trade between the two countries in this area. Electronic governance and use of electronics in administration was considered in detail and agreed that both the countries could put their skills together and work for an extensive knowledge base.

In case of strategic electronics the two sides agreed in principle to initiate "The Russian – Indian scientific and technical cooperation in the area of high performance computing technology and applications" for the commercialisation of high performance computers in Russia and in third countries. They also gave their consent to set up a satellite link between the Russian Academy of Science and the Centre for Development of Advanced Computing (C-DAC) of India for offering training courses in the area of advanced computing. The Russian side agreed to arrange demonstration of the LINE Radar system in their country. The Russian side also indicated priority for cooperation in solving the problems that the Y2K would bring about in the next century.

June 22, 1998

India and Russia signed yesterday an accord for construction of two 1000 MW light water nuclear power reactors at Kudankulam in Tamil Nadu. This is the supplement to the Inter-Governmental Agreement entered into by both the countries in 1988. The Chairman, Atomic Energy Commission and Atomic Energy Secretary Dr. R. Chidambaram and Russian Atomic Energy Minister, Prof. E. O. Adamov signed the agreement on behalf of India and Russia respectively.

A Russian delegation led by Prof. E.O. Adamov visited India from June 20 - 22, 1998. The delegation saw various facilities at the Bhaba Atomic Research Centre, Trombay, Mumbai, on June 20.

Kudankalam is located 25 kms. north-east Kanyakumari and provides good foundation because of its hard rock structure. It is not subjected to severe cyclonic storms and tidal waves. It is also easily accessible by road, rail and sea.

Dr. Chidambaram said that power reactors to be set up at Kudankulam are rated to be among one of the advanced light water reactors in the world. He said that this would strengthen the long standing ties between the two countries.

 CULTURAL EXCHANGE AGREEMENT SIGNED BETWEEN INDIA & RUSSIA

January 16,1998

Programme of cultural, scientific and Educatioonal Exchange between the Government of the Republic of India and the Government of the Russian Federation for the years 1998-1999 was signed today. On behalf of the Government of India, the programme was signed by Shri R.V. Vaidyanatha Ayyar, secreatary,

Department of culture and on behalf of the Government of Russian federation it was signed by H.E. Mr. G.B. Karasin, deputy minister of Foreign Affairs.

The programme provides for direct cooperation between cultural, educational, scientific sports and mass media institutions and organizations of the two countries. The Russian side has agreed to provide 45 government scholarships to Indian students to study at educational institutions of the Russian Federation in basic educational programmes of graduate and post-graduate vocational education. During the validity of this programme, both sides will exchange specialists in the field of elementary education, vocational education and higher education to enable them to learn from the experience of each other. Both sides will also exchange experts in the fields of mathematics, statistics, economics, geology, anthropology and computer sciences.

The programme also provides for various means of strengthening cultural cooperation between the two countries. It has been decided that the "Days of Delhi" will be held in New Delhi in 1998 and " Days of Delhi" will be held in Moscow in 1999. Both sides will exchange on reciprocal basis scholars, students, trainees for studying languages, history, culture, economyh and social structures of each other country. Both sides will also participate in events connected with the 200th Birth Anniversary of A.S. Pushkin and 200th Birth Anniversary of Mirza Ghalib.

The two sides have also agreed the exchange experts and lecturers in the field of fashion technology to interact with each other's teachers, graduates, students and specialists in design industry. The programme would also strengthen personal contacts between youth and women of these two great nations and facilitate establishing direct exchanges between the two Governments.