New Delhi, Jun 19 (KNN) Even as the new government of Prime Minister Narendra Modi has made known its intention to review the impact of  different free trade agreements on the Indian industry, India has agreed to explore another such pact with Russia.

The two countries have agreed to set up a joint study group to look at the feasibility of a free trade agreement between India, the Customs Union of Russia, Belarus and Kazakhstan. This was agreed at the meeting between visiting Russian Deputy Prime Minister Dmitry O Rogozin and External Affairs Minister Sushma Swaraj here yesterday.

“Formalities for these are under process and a formal announcement of the constitution of the study group will be made as early as possible,” External Affairs Ministry spokesperson said after the meeting. The focus of the proposed FTA with Russia would on different sectors but pharmaceuticals, diamonds and infrastructure would be of special interest to the Indian small and medium enterprises.

The India-Russia bilateral trade is much below its potential at USD 10 billion, as compared to other large economies like China.

Commerce and Industry Minister Nirmala Sitharaman has said in her media interactions that not all the FTAs have helped the Indian industry and there was a need for a review of the same.

The aim is also on exploring the untapped potential between India and the customs union countries of Russia, Belarus and Kazakhstan, the spokesperson said.
Rogozin’s visit was to prepare the ground for Russian President Vladimir Putin’s visit later this year for the annual summit meeting with Prime Minister Narendra Modi. (KNN Bureau)