Russia asks India for spare parts

Moscow has sent India a list of more than 500 products for potential delivery including parts for cars aircraft and trains four sources familiar with the matter said as sanctions squeeze Russiarsquos ability to keep vital industries runningThe list a version of which has been seen by Reuters in New Delhi is provisional and it is unclear how many of the items will eventually be exported and in what quantity but an Indian government source said the request was unusual in its scopeIndia looks to boost exportIndia is keen to boost trade in this way said the source as it tries to narrow a ballooning trade deficit with Russia Some companies have expressed concern however about potentially falling foul of Western sanctionsAlso Read Russia denies planning to give up vast Ukrainian nuclear plantIndian imports from Russia have grown nearly five times to 29 billion between Feb 24 and Nov 20 compared with 6 billion in the same period a year ago Exports meanwhile have fallen to 19 billion from 24 billion the source said India is hoping to boost its exports to nearly 10 billion over coming months with Russiarsquos list of requests according to the government sourceAn industry source in Moscow who declined to be named because of the sensitivity of the issue said Russiarsquos Ministry of Industry and Trade asked large companies to supply lists of raw materials and equipment they needed The source added that further discussion would be needed to agree specifications and volumes and that the outreach was not limited to IndiaRussiarsquos Ministry of Industry and Trade and the Indian foreign and commerce ministries and the prime ministerrsquos office did not immediately respond to requests for comment Russiarsquos requests were made weeks ahead of Indian Foreign Minister Subrahmanyam Jaishankarrsquos visit to Moscow starting Nov 7 two of the Indian sources said It was not immediately clear what was conveyed by New Delhi to Russia during the visitWestern sanctions have crippled supplies of some crucial products in Russia Airlines are experiencing an acute shortage of parts because almost all planes are foreignmade Car parts are also in demand with global automakers having left the market A source in Russiarsquos car sales industry said the trade ministry had sent a list of car parts needed to corresponding ministries and state agencies in other countries including IndiaIndian firms hesitantBut some Indian companies are reluctant to export to Russia over fears of being sanctioned by the West the lack of clarity over payments and challenges to securing insuranceldquoThere is hesitancy among exportersparticularly on sanctioned itemsrdquo said Ajay Sahai director general of the Federation of Indian Export Organisations FIEO a body supported by Indiarsquos commerce ministrySahai who is aware of Russiarsquos request said even small and mediumsized exporters who could meet some of the requests and had previously exported to Iran after Western sanctions were not enthusiastic Large Indian lenders are also reluctant to process direct rupee trade transactions with Russia months after the mechanism was put in place for fear of being sanctioned10bBoost to exports India hopes to achieve with Russiarsquos requestsSome of the items Russia wantsgtgt Car engine parts like pistons oil pumps ignition coils bumpers seatbelts infotainment systemsgtgt For aircraft and helicopters landing gear components fuel systems communication systems fire extinguishing systems life jackets aviation tyresgtgt Raw materials to produce paper paper bags consumer packaginggtgt Materials and equipment to produce textiles including yarns and dyesThis story has been sourced from a third party syndicated feed agencies Midday accepts no responsibility or liability for its dependability trustworthiness reliability and data of the text Midday managementmiddaycom reserves the sole right to alter delete or remove without notice the content in its absolute discretion for any reason whatsoever