India-CIS countries trade may touch $ 30 billion by 2020.

NEW DELHI: The trade between India and CIS countries such as Russia and Ukraine is expected to touch $ 30 billion by 2020, exporters body FIEO said today.

In 2011-12, trade between India and Commonwealth of Independent States (CIS) stood at $ 12 billion.

The Federation of Indian Export Organisations (FIEO) at an interaction with Ambassadors and Senior Diplomats of CIS nations said that huge trade potential exists in CIS region.

"Pharmaceuticals, engineering, petroleum, wood and furniture products, IT services will play a key role to strengthen trade between India and CIS," FIEO Director General Ajay Sahai said in a statement.

To achieve the target, Sahai said the exporters should also take advantage of the focus market schemes.

CIS members include Kyrgyzstan, Armenia, Kazakhstan, Turkenminstan and Belarus.

Speaking at the occasion, Joint Secretary in the Ministry of External Affairs Ajay Bisaria said that there is a need to look at Eurasia as the next front for India's trade growth.

He also pointed out issues relating to connectivity and visa regime that need to be looked into to further improve the trade ties.

"Indian exporters should take benefit of the North-South corridor by sending their consignments by Bandar Abbas Port which will cut the cost by more than 40 per cent," the statement said quoting the Joint Secretary.

Bisaria said that the government has taken number of steps to improve connectivity. Currently more than 14 flights are operational every week between India and CIS region.

With regard to visa, it said the government has worked out a plan with Russian government wherein the recommendation with the apex chambers would be considered while granting business visas to Indian exporters.

"Similarly, with other CIS countries the same proposal is being worked out so that Indian businessmen can undertake projects smoothly in this potential region," it added.

Irina A Orolbaeva, Ambassador Embassy of Kyrgyzstan said that CIS countries should be taken as a potential market by India as most of the countries like France, Italy and China have already invested in the areas of infrastructure.

Orolbaeva also called for establishing banking channels between India and some of the CIS countries.

Source : economictimes.indiatimes.com