Central Asia has significant geo-economic potential for India due to its strategic location, which connects Asia and Europe. India is actively developing its relations with the countries of the region and is ready to offer its knowledge and technologies in areas such as petrochemicals, pharmaceuticals, transportation, and logistics, as reported by the press service of the Eurasian Development Bank.
However, at present, the level of trade relations between India and Central Asia remains low:
· The share of Central Asia in India's trade turnover is only 0.1%
· The share of India in the trade turnover of Central Asia is just 1%
· Indian exports to the region include pharmaceuticals, electronics, and mechanical devices
· The main import goods from Central Asia to India are petroleum products, fertilizers, and metals.
At the same time, there is significant potential for further cooperation.
The Eurasian Development Bank, in collaboration with the Export-Import Bank of India, has proposed strategic recommendations for deepening interaction between the countries of Central Asia and India:
- Increasing mutually beneficial trade considering the trade opportunities and needs of both parties
- Joint development of digital infrastructure (including common payment systems and digital payments)
- Establishing joint ventures and technological cooperation (sharing experience and knowledge, supporting entry into new markets)
- Expanding access to trade financing (including additional funds and reducing credit risks)
- Simplifying trade and customs procedures (digitization, harmonization, and modernization of processes)
- Building and developing transport and logistics infrastructure.
