TRADE IMPACTS OF RUSSIA- UKRAINE CONFLICT

TOPIC: IR

Context- The Russia-Ukraine conflict could weigh heavily on India’s tea exports to the CIS if the situation does not settle down quickly.

Concept-

Impact on India Tea Exports: Tea exports to CIS account for nearly 23-24 per cent of the country’s total exports.
Of this, exports to Russian Federation stood at 30.89 mkg, nearly 77 per cent of the total exports to the CIS. Russia is a long term and a very stable market for Indian tea.
Impacts on Oil & Gas: The Russia-Ukraine war will also have a big bearing on global natural gas markets, since Russia produces nearly 17 per cent of natural gas and has a 25 per cent share of total gas exports.
Impact on Metals: Russia contributes almost 12 per cent to global trade in aluminium. Any sanction imposed on Russian aluminium exports will aggravate the metal availability in the rest of the world.

About Commonwealth of Independent Nations:

Commonwealth of Independent States (CIS) was created in December 1991.
In the adopted Declaration the participants of the Commonwealth declared their interaction on the basis of sovereign equality.
Members : Azerbaijan, Armenia, Belarus, Kazakhstan, Kyrgyzstan, Moldova, Russia, Tajikistan, Turkmenistan, Uzbekistan and Ukraine.