Q. Mr. Ambassador, the first question is with what purpose is Prime Minister Narendra Modi going to the Eastern Economic Forum?
A. At the invitation of President Putin, Prime Minister Narendra Modi will become the chief guest of the EEF, and this is the first time that the Indian leader will come to Vladivostok and the forum itself.
As for the EEF, it is a priority for us. Last October, our leaders decided to diversify economic relations. And this means that it is worth adding new areas of trade and investment to pillars of our cooperation such as defense, energy, nuclear and space cooperation and also emphasizing on the development of regional cooperation.
You know that President Putin and Prime Minister Modi meet quite often, not only bilaterally, but also on the sidelines of a number of international events - they have already met or will meet within the framework of the G20, SCO and BRICS summits. This frequency of meetings confirms the excellent state of bilateral relations. And since we have such deep-rooted relations of strategic cooperation, we want to achieve a breakthrough in new directions in Vladivostok . And for India, the focus will be on the Russian Far East.
Q. And what political issues will be discussed at the meeting, and will the topic of Kashmir be touched upon?
A. Kashmir is not a question between India and Russia. Russia recognizes Jammu and Kashmir as part of India and as an internal affair of India. We have already explained the reasons behind the recent decision to reorganize Jammu and Kashmir administratively, to our Russian friends. This happened largely because the Constitutional article defining the status of Jammu and Kashmir was supposed to be temporary, but it lasted 70 years. And this was an obstacle to the integration of state residents into the national life of India, a country that is developing at a rate of 7% per year. In principle, there should be one Constitution in one country. The Russian Foreign Ministry acknowledged that this decision is consistent with the framework of the Indian Constitution, and that any issues between India and Pakistan should be decided by them on a bilateral basis. The Russian position coincides with our position, here we have no divergences.
As for other topics, in Vladivostok, our leaders will traditionally discuss the events in the world that affect our countries - like fight against terrorism, cooperation within the BRICS, RIC and SCO.
Of course, regional issues that are of interest to both sides will also be discussed like Afghanistan, the Russian assessment of events on the Korean Peninsula, the situation in the Middle East and the Indo-Pacific region. This is nothing fundamentally new - each time during the course of a meeting, our leaders conduct an in-depth exchange of views on such international and regional topics. The visit of Indian Foreign Minister for talks with Foreign Minister Lavrov in late August will be important in this regard.
Q. A representative Indian business delegation visited Vladivostok on the eve of the EEF, and as a result of the visit, its head, Indian Minister of Commerce and Industry, Mr. Piyush Goyal, announced plans to increase Indian investments in Russia. In which areas can Indian investment go and which sectors seem to be the most attractive in the Far East?
A. The meeting, which took place on August 12 in Vladivostok, was unique. For the first time, an official delegation included the heads of the four of the most important Indian states, which were accompanied by more than 140 businessmen. On the Russian side, the delegation was led by Presidential Representative in the Far Eastern Federal District, Mr. Yuri Trutnev, accompanied by 200 Russian companies. Serious discussions took place, which helped to identify specific areas of cooperation - wood processing, dairy products, agriculture, ceramics, health care, education, ports, infrastructure, as well as mining of coal, gold, and diamonds.
Regarding the diamond industry, India is already active in the Russian Far East as there are a number of large Indian companies present in this area. Many investments have also been made in the energy sector in the Far East. We believe that despite the long distance, Vladivostok is quite far from India, this is a positive moment for deepening cooperation, which will be reflected in the meeting of leaders.
Q. You mentioned earlier that over ten agreements are being prepared for signing on the forum. Tell us something specific?
A. India is going to present a big plan of action for the Far East. And there is great interest from the Russian side. We see great prospects in the field of timber, the diamond industry, ceramic products and in the field of education and coal mining.
Q. Indian media often see Russia's desire to attract Indian business to the Far East as an attempt to balance the Chinese presence there. Do you see a certain geopolitical subtext in this?
A. Business is business. And business does well where there is no political interference . But the bottom line is that for Russia, the development of the Far East is a national priority. Secondly, President Putin attaches great importance to the Eastern Economic Forum. He invites leaders of important countries that have the desire and ability to do business with Russia in the Far East to the forum . This year, the chief guest is India, but in previous years, the chief guests were both China and Japan. We do not believe that the Far East is a region of rivalry. This is a region that opens up opportunities for everyone - both for Russia and for all countries participating in its development. And I do not exclude that India can cooperate with other countries in the Russian Far East.
India is a new player in this region, we are located far from it. Countries such as China, Japan and South Korea are much closer to the Russian Far East. But for India, distance was never an obstacle to the development of relations with Russia. And we intend to demonstrate this in the Far East. Some of our construction and energy companies are represented in Sakhalin and Kamchatka - this is an excellent example of the fact that we can develop cooperation even in hard-to-reach areas.
Q. In 2017, India and the Eurasian Economic Union began negotiations to establish a free trade zone. Russian officials have relatively recently even said that it will start working by early 2020. Everything is going according to plan?
A. Yes, now everything is according to plan. We moved somewhat slowly in discussions with the EEU secretariat, but about a month and a half ago, our delegation held a working meeting in Moscow, at which it was agreed that by the end of the year the parties would come to final agreement on the text of the agreement. This will not be called a free trade agreement, it is a trade agreement, because we will focus on certain areas that are important to us and the EEU countries. But later, of course, we will be able to expand this agreement to the FTA. For India, the EEU is a very important, since India has excellent bilateral relations with all its member countries. Besides, economic integration within the union is progressing remarkably, and India takes this into account in its trade relations with the region.
Q. New Delhi has repeatedly expressed interest in jointly developing gas projects in the Arctic with Russia. What kind of projects are these, if the idea is on building a pipeline from Russia to India, or is it mostly about LNG?
A. Energy is one of the foundations of Indian-Russian cooperation. 20 years ago, India invested in the Sakhalin project, and this is one of the most successful cases of Indian investments abroad. We are also discussing the possibility of investing in oil fields near Vankor (in the Krasnoyarsk Territory) with the Russian Energy Ministry. We are aware that the Arctic region has now become a new region for the exploration of oil and gas deposits.
Being one of the world's largest energy consumers, we import most of the resources from abroad, and Russia is our most important and reliable partner, a partner with whom we can develop long-term cooperation without fear. As for pipelines, till date, geographical and political factors have not contributed to the results. But in the medium and long term, this is entirely possible. But we are interested in a larger volume of long-term deliveries from Russia, both oil and liquefied gas. All this will be precisely discussed during the visit of our Minister for Oil and Natural gas, who is due to arrive in Moscow at the end of the month to meet with his Russian counterpart Alexander Novak. We will report on the results of this discussion at a bilateral meeting of the leaders of India and Russia.
Q. But did the situation with Iranian oil and the threat of US secondary sanctions affect India?
A. Iran was a major oil supplier to India and we had to think of alternative orders due to restrictions. India is looking for sources of energy supplies that will not be subject to long-term sanctions, and in this sense, Russia seems to us to be a very important partner.
Q. Moscow and New Delhi have long been discussing easing the visa regime. What are the successes?
A. The visa system is one of the most important bridges for human exchanges not only in terms of tourism, but also for business circles. Compared with previous years, by now the visa policy has greatly improved. But in some areas there is still work to do. The Indian side is now issuing electronic visas - and it works great. In Russia, this has become a popular service because, due to the long distances, some Russians sometimes have to travel a lot more for a visa at the consulate than flying to India. By agreement of the parties, businessmen of both countries are entitled to five-year business visas.
Q. But if Indian businessmen get visas for this entire period to Russia without any problems, representatives of Russian business circles in practice receive visas for a maximum of a year. Do you know about this problem?
A. As for Russian businessmen traveling to India, we are aware of their problems. There is no difficulty in quickly issuing an annual visa for business representatives. We intend to issue five-year visas soon, but for this, we need certain technical equipment, for example, biometric systems that are not yet available at the Embassy. We are working on it. But even now, I am giving instructions to the consular department to issue such visas upon special request.
Besides, we give five-year visas to those who participate in the joint venture in India. It is in our interests that Russian business is actively represented in India, and we are trying to make our visa system as friendly and open as possible. And I would like to assure the Russian business community that the Embassy of India is always open for any assistance.
Q. A year ago, Russia and India signed a contract for the supply of five S-400 missiles, and India went for it despite the open opposition of the United States. How is the implementation of the contract going when the first S-400s reach India?
A. India and Russia are traditional partners in the military-technical cooperation. 60-70% of our armed forces are equipped with Soviet or Russian weapons. Besides, a number of Russian companies are involved in the creation of defense products within India. And we expect that in Vladivostok there will be new agreements that will increase Russian participation in the production of spare parts in India.
Last October, a contract was signed for the delivery of S-400 systems. Our military is pleased to receive such advanced systems, and we intend to adhere to the schedule outlined in the contract.
Q. Since Soviet times, the problem of the Indian debt of Russia remains. What are the obstacles here, why is this problem still not resolved?
A. India and the USSR had very deep and strong economic ties. In the early 90s, India and Russia reached an agreement to resolve the issue of the so-called rupee-ruble debt. A significant part of that amount has been settled. What remains is a much smaller amount. Both sides acknowledge that some debt is there. But, like the Russian side, we have yet to convince our financial auditors of the need for paper work relating to these debts. The amount that Russia mentions and the amount that is spoken about in India vary. And we are discussing this. And when the entire amount will be clearly indicated, both parties will be able to decide how this money can be used - for which joint economic projects.
Q. And what amounts are we talking about?
A. The Russian side is talking over $ 30 million. India believes that the debt is somewhat less. Accurate calculations are complicated by the fact that the documentation was kept several decades ago, and not all papers are available. But taking into account the friendly relations of our countries, I am sure this issue will be resolved on a mutually acceptable basis.
