Putin extends support on Sakhalin-III

New Delhi, Jan 25 (UNI) Assuring full support in meeting India's energy needs, Russian President Vladimir Putin today extended all possible support, including participation for Indian firms in the Sakhalin-II and III oil and gas development projects along with other companies.

Addressing an interactive session with CEOs from India and Russia, Mr Putin said the Indo-Russian joint trade forum would meet here on February 12-13 to discuss the various trade opportunities between the two countries.

More than 200 companies would participate in the summit, he added.

The President indicated that his government was favourably disposed towards financing of investments by Russian companies in India by utilising the money under the Rupee-Rouble debt agreement.

Detailed discussions in this context would open new vistas of cooperation, he added.

Mr Putin said there were promising prospects for cooperation in enhancing India's nuclear capacity and expressed the interest of the Russian side in expanding cooperation in oil exploration, production and supplies.

Indo-Russian bilateral trade is growing at 20 per cent per annum. The target of achieving a trade turnover of 10 billion dollars by 2010 from the current level of 3.8 billion dollars would require raising the rate of growth of trade to 30 per cent per annum, he pointed out.

Admitting that efforts to increase the volume of trade were deterred by high transportation costs, Mr Putin said these could be sorted out through mutual discussions.

Stressing on the need for diversification of trade between two countries, Mr Putin said the relations should extend to other areas like biotechnology, nanotechnology, aviation and manufacturing of aviation equipment.

"More than 130 joint products have been discussed between us and agreements will be signed after talks with the ministries," he said.

FICCI President Habil Khorakiwala, speaking on the occasion, raised four issues including visa problems, shipment route for easy transportation, expansion of inter-banking cooperation and utilising the remaining funds to give a boost to bilateral trade.

"The banking system is one of the major stumbling blocks in the bilateral trade due to which uncertainty prevails on the safety of investment by Indian corporates. This needs to be sorted out through mutual discussions," he added.

He also invited Russian investment in high technology areas such as food processing, infrastructure, coal gasification, chemicals and the like.

Apart from deepening bilateral engagement in civilian nuclear technology, the energy sector afforded a real opportunity to Indian and Russian companies to forge joint ventures in offshore oil exploration and investment in downstream sector in home countries as well as third countries, he added.

Mr C S Rao, Chairman, Telecom&Convergence Council, Assocham, called for relaxation of the visa regime for business travel to Russia and opening of more bank branches in both countries.

Mr Putin, responding to the suggestion, said, "the matter will be raised with the European Union." The Indian government should also put a check on illegal immigrants transiting through Russia with the intention of entering Western European countries, he added.

UNI