core sector communique

Anand Sharma Pushes for Favourable Terms for Pharma Export to Russia Russia asks for Joint Production of Civilian Aircraft Russia Raises Sistema Issue in Bilateral Talks Metro AG CEO meets Anand Sharma

In his bilateral meeting with Mr. D. Rogozin, Deputy Prime Minister of Russian Federation, at St Petersburg today, Shri Anand Sharma pushed opening up opportunities to Indian pharma companies for favourable joint venture partnerships in Russia. The Indian Minister pointed out that the Indian pharmaceutical products are of international standards and cheaper than other markets on an average by 30-40%. He outlined the specific steps that need to be taken in this direction. Steps like participating in the Pharma 2020 Programme of Russia by setting up production units in Russia would require suitable facilitation by Russia. He also asked for streamlining registration process; sharing of information on drugs that are imported by Russia and on assessed production volumes of strategically identified medicines. “We are keen to participate in the Pharma 2020 program of Russia where Russian Government has ambitious plans in developing pharmaceutical industry with an objective to reducing healthcare cost. I believe that India is best suited partner with Russia in this endeavour and I would like our industry and regulatory bodies to work together to see that we are able to achieve the social health objective,” said Shri Sharma. Both side agreed for holding of the first meetings of the JWG on Modernization and Industrial Cooperation in July- August. “I think it is an excellent opportunity where the government and the corporate sector from both sides can get together and identify new opportunities. This should have a catalyst effect on enhancing our trade and business links,” said Shri Sharma. JWG would function in the PPP format and will have sub-working groups on mining, fertilizers, modernization (this sub-group will take up issues for enhancing engagement in sectors like, infrastructure, energy, transportation and other core industries). The last Sub group is on aviation. The Russian proposed to take the talk further on joint production of civilian aircraft. The first formal contact between the two sides on this issue took place during then Russian Deputy Minister Mr. Manturov’s meeting with Secretary (Civil Aviation) on Mar 28, 2012 in New Delhi. The Indian Minister said that India will be guided by the experts on how to take this further and sub group on Aviation will, among other issues, take this up. Russian side raised the issue of the impact that the Supreme Court judgment in the 2G case has had on the Indian investments of Sistema in the telecom sector. They said that Russia values India as an important investment destination and sought and amicable resolution. Shri Anand Sharma also expressed appreciation for the Russian investments which have been a source of technology over the years. He assured them full representation of Sistema’s case during the legal process through continuous dialogue between Sistema and the Department of Telecom. It was noted that that the level of bilateral trade and investment between India and Russia remains below its potential. Both sides need to make sincere and concerted efforts and to take specific measures including thrust areas, to achieve the target bilateral trade figure of US$ 20 billion by 2015. Later Shri Sharma also met Mr. Olaf Koch, CEO and Chairman of the Management Board of METRO AG. Mr. Koch expressed happiness over the performance of their investment in India and apprised the Minister about the expansion plans in India. He informed that soon they will raise the number of their stores from 10 to 16 in the country. Shri Sharma welcomed their decision to procure marine products from India for their global operations and assured them all the help from official/government side.