India, Russia Seal Defense Deals Worth Billions

India, Russia Seal Defense Deals Worth Billions

<h1>India, Russia Seal Defense Deals Worth Billions</h1><img src="http://www.voanews.com/App_Themes/VOA_en-US/img/colorLogo.gif"/>India and Russia have sealed defense deals worth billions of dollars during a visit by the Russian president, in a move which reaffirms the long-standing strategic alliance between the two countries.<br /> <br /> Calling Russia a key partner in the effort to modernize India&#39;s armed forces, Indian Prime Minister Manmohan Singh announced the deal to buy 71 military helicopters worth $1.3 billion, and kits to assemble 42 Sukhoi fighter jets worth $1.6 billion.<br /> <br /> India and Russia were close allies during the Cold War days, with Moscow being the main supplier of India&rsquo;s armed forces. But analysts say Russia has been losing out on India&rsquo;s lucrative defense market in recent years, as New Delhi increasingly hands out contracts to countries such as Israel, France and the United States, establishing closer links with many Western countries.&nbsp;<br /> <br /> The trend has sparked concerns in Russia that the country is losing its dominant position in the Indian military market.<br /> <br /> However, Moscow remains a key defense supplier and the two countries also retain a close political relationship.<br /> <br /> On Monday, India&#39;s leader called Putin a &ldquo;valued friend.&rdquo;<br /> <br /> &ldquo;We deeply value Russia&rsquo;s steadfast friendship, and support for India unaffected by global developments,&quot; Singh said. &quot;This relationship has a special place in the hearts and minds of the people of India, and India remains committed to further deepening it.&rdquo;<br /> <br /> The Russian leader, making his first visit to New Delhi since starting a new term in May, was also effusive. In an article published in a leading Indian newspaper, Putin wrote that &ldquo;deepening friendship and cooperation with India is among the top priorities of our foreign policy.&rdquo;<br /> <br /> <div class="tag_image tag_image5 floatLeft" contenteditable="false" mode="img|expand|E3B1E0FA-BA71-406E-86F2-58DCC355CAA5.png|5|floatLeft|||1"> <img src="http://gdb.voanews.eu/E3B1E0FA-BA71-406E-86F2-58DCC355CAA5_r1_w268.png" /></div> ​​Increasing trade with India, which the Russian president called one of the world&rsquo;s fastest growing economies, was also high on Putin&rsquo;s agenda, who said he wants to double bilateral trade with India from the current $10 billion to $20 billion. Trade between the two countries has grown slowly in recent years.<br /> <br /> The two sides also signed agreements on trade, science, education and law enforcement.<br /> <br /> Putin said the deals demonstrate the two countries&#39; mutual aspiration to develop political dialogue, investment, trade relations and people-to-people contact.<br /> <br /> The two leaders also reaffirmed their commitment toward stabilizing Afghanistan, and making it free from extremism.&nbsp;<br /> <br /> &ldquo;We reviewed the ongoing developments in Afghanistan,&quot; Singh said, &quot;and agreed to work together against threats posed by extremist ideologies and drug trafficking.<link rel="canonical" href="http://www.voanews.com/content/indian-russia-seal-dfense-deals-worth-billions/1571157.html"/><meta name="syndication-source" content="http://www.voanews.com/content/indian-russia-seal-dfense-deals-worth-billions/1571157.html"/><img src="http://livetracker.voanews.eu/counter.lt?PageType=256&RecordId=1571157&SiteId=415&r=789953759&it=0&pd=20121224142854&url=ArticleID1571157" alt="" style="border:none;" height="1" width="1">

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