NEW DELHI: In a move to bolster ties with the new republics after the disintegration of the Soviet Union India has sent a high level inter-ministerial delegation to Moscow.

The 10-member delegation includes the Secretaries of External Affairs Finance Defence Commerce and Power.

The team led by the foreign secretary J N Dixit is likely to spend five days in Moscow and the capitals of some republics.

Apart from bilateral trade the future of rupee ruble transactions spare parts for defence equipment and cooperation in the power sector of credits are expected to figure prominently in the discussions.

The rest is seen as a follow up to the External Affairs minister Madhavsinh Solanki visit in November during which he was assured by Russian leaders that all commitments made to India on trade would be kept.

The establishment of new banking arrangements beyond the basic concerns with foreign trade in Russia and the other republics with the RBI making provisions for the flows in 1992 and the conclusions of a trade agreement between India and Soviet republics will be taken up at the in-depth deliberations.

The other members of the delegation included Economic Affairs Secretary SI Ahluwalia Commerce Secretary A V Ganesan Defence Secretary N N Vohra Power Secretary S Rajagopal and Finance Joint Secretaries.

Problems faced by India in getting urgently required spare parts in the defence sector in view of the changed situation are also expected to be sorted out.

The Russian leaders explained to Solanki during his visit that the difficulties should not be taken to read that Russia no longer attached the same importance to its relations with India.

The Russian federation produced the bulk of the Unions oil gas fertilizers and ferrous and nonferrous metals which India imports in large quantities.

Russian imports from India such a tea coffee leather garments shoe uppers and other items will also figure in the talks.

India has already had a preliminary dialogue with Russia and theirs republics on the vexing rupee-ruble trade arrangement.

It has also reputedly sent lists of items for export and import to eight republics of the erstwhile Soviet Union and concluded a trade agreement with Uzbekistan.

Against a target of Rs 5080 crore for 1991-92 India exported goods worth only Rs 2840 crore during April-September. Imports for the period amounted toRs4100crore. As a result Indias technical credit to the erstwhile Soviet Union at the end of December 1991 stood at over Rs 1200 crore.

For India’s repayment of ruble credits made through exports of goods to the Soviet Union the rupee-ruble exchange rate fixed on the basis of the 1978 protocol is applicable.

According to this rate a ruble is today equivalent to Rs 31.78. India has been seeking a review of the 1978 protocol to reach a more realistic rupee-ruble rate.

Two rounds of discussions have already been held on this subject. The inter-ministerial team which is visiting Moscow will hold the third round of talks on this matter.

Meanwhile a leading Moscow University researcher has said six newly independent Muslim Central Asian republics of the erstwhile Soviet empire including Azerbaijan are considering “direct” links with “culturally close” India.

However Russia’s relations with India the traditional partner of the erstwhile USSR would have to find a new base according to Andre A Schildbach senior researcher of the Institute of Asian and African Studies Moscow University

He said “wide government-level links in a 1971 treaty (between India and Soviet Union) will have to be replaced by relations based Con the realistic interests of both countries. That is particularly important for economic relations where politically-based decision have created at angle of problems”

Schildbach who was participating in a seminar on South Asian security said Azerbaijan and five Central Asian republics Turkmenia Tajikistan Uzbekistan Kirghizia and Kazakhstan were already active in establishing diplomatic and economic relations with the neighboring Muslim countries.

They were also “extremely keen on being on good terms with Saudi Arabia and the Gulf countries and most of them were thinking of establishing direct links with culturally close India” he said. “Lacking any modem diplomatic tradition and the tradition of modem politics Azerbaijan and the five Central Asian republics will be most probably looking for the pattern in some known and traditional frame of reference that is for them Islam “Schildbach observed.

He said Azerbaijan is looking at Turkey as a model of social economic and cultural development and Uzbekistan is interested in close ties with Pakistan.

Tajkis being the only non-Turkish people in Central Asia would like to be close to Iran he added. The three Baltic States would not be interested in establishing serious political or economic relations with South Asian countries the scholar said.

Practically the same could be said about Byelorussia and Moldovia which though staying with the Commonwealth of Independent States (CIS) will hardly have the opportunity to peep any way to South Asia he maintained.

The Baltic States would definitely reorient their international priori ties towards Europe more. Precisely northern Europe Schildbach said.

South Asian countries

Article extracted from this publication >> January 24, 1992