Russia vs Ukraine: A matter of concern for India

In the whole game, the elephant in the room is neither Russia nor any individual member of NATO. Instead, it's China.

- SABYASACHEE DASH

The fears have come true. Russia has gone ballistic on Ukraine and called it Special Military Operation. It is war, and unless carefully handled, could spin into a global fight.

Bombing a nuclear plant is the latest update which endangers mass public health and poses serious concern for the environment The dreadful unfolding in Ukraine is probably the most extensive disruption to the security order in Europe in the post World War era. A military superpower invading another country, and with the US and NATO imposing sanctions, the fight is happening right in front of our eyes and is ominous.

No one is clear about how the situation will pan out in the end. Like all wars, the current standoff manifests issues compounded over the years.

This article does not seek to look at the right and wrong of Russia but will focus on the repercussions on the Indian economy. In the whole game, the elephant in the room is neither Russia nor any individual member of NATO. Instead, it's China.

The Indian position of trying to stay neutral appears to have received more appreciation than criticism.

The rhetoric from the US was pretty much expected an devoid of significance as passing resolutions may not be enough when NATO is not able to come in direct confrontation with Russia.

And now a sneak peek into India's trade relations with Russia and Ukraine.

Trade between India and Russia is $9.4 billion so far this fiscal. It's already about 20% up from the previous year. India imports from Russia fuels, mineral oils, nuclear reactors, boilers, machinery and mechanical appliances, electrical equipment, and fertilizers. Its major exports include pharmaceutical products, electrical machinery and equipment, organic chemicals, and vehicles. Little wonder, in its own interest of trade, India has chosen not to take sides.

India's trade with Ukraine is $2.3 billion this fiscal and is down by 10%.