The sweeping political reforms initiated by the then Russian president Vladimir Putin including control of state on oil and gas industry. To gain more economic control in the Central Asian Region (CAR), it formed an economic bloc with Ukraine, Belarus and Kazakhstan. The new Russian foreign policy doctrine grants higher priority to political and economic relations with India compared to previous doctrine and relations with India and China are considered to be the Russia's most important vector in Asia. As part of BRIC bloc, Russia plans to shift its focus of foreign trade from Europe to Asia giving priority to India and China. Oil and gas dominates Russian exports, however the share of engineering goods is increasing day by day.
The bilateral trade between India and Russia is growing annually at 30% and has reached US $ 10 billion this year. The new areas of investment identified for co-operation are banking, IT, telecommunications, nuclear co-operation and pharmaceutical sector. The key elements of Indo - Russian relations are :-
(b)Mutual trust and understanding.
Convergence of interest in CAR and Afganistan.
Cross border terrorism.
It is acknowledged by both countries that the bilateral trade is much below potential. There is great potential in the field of oil and gas co-operation, defence technology, joint space exploration, Information technology, banking, nuclear co-operation and pharmaceutical sector. Russia considers India as its long term partner and ally. India can play important role in Russia's energy strategy. India has invested approximately US $ 1.7 billion in Sakhalin 1 project and willing to actively participate in Sakhalin 3 project to include joint exploration of oil in East Siberia which will help in achieving the goal of energy security. In India, policy makers have taken various initiatives to address the requirement of increasing energy demand, as Indian economy has become increasingly sensitive to volatile international oil market. 
The co-operation in the field of defence constitutes the most important feature of Indo-Russian bilateral ties today. It has given India access to sophisticated weapons and advanced technologies at a time when others were not willing. The defence cooperation reflected the convergence of their larger geopolitical interests. A majority of Indian military equipment is of Russian origin. Despite the fact that Indian policy makers are engaged in diversifying the sources of military equipment and technology acquisitions, because of the long-established ties and ongoing projects, Russia is likely to remain for the foreseeable future the major defence partner of India. On their part, the Russian policy-makers and defence industry managers are aware of the need to adapt to the new market dynamism and growing competition in the Indian arms market  . The Major Joint Development and Production Projects in the field of defence/civil co-operation are :-(责任编辑：BUG)