NEW DELHI, April 18. /TASS/. The supply imbalance between Russia and India can be solved through creating joint ventures, as well as having the Indian side occupy the niches on the Russian market that were vacated after the exit of a number of foreign companies, Russian Deputy Prime Minister, Trade Minister Denis Manturov told reporters during his working trip to India.

"The supply imbalance can be solved by creating joint ventures both in Russia jointly with Indian partners and in India jointly with Russian economic entities, among other methods," he said.

Russia suggests that "Indian producers should be more active in entering the niches that were vacated by a number of foreign companies that left the market," Manturov said speaking at a meeting of the Russian-Indian intergovernmental commission, adding that "the issue is primarily about supplies of components, equipment and materials for various sectors of industry."

Last year, India already demonstrated a notable increase in exports of road equipment, the Russian Deputy PM noted. Supplies of finished products and components by the Indian side to Russia, in particular those requiring certification and adjusting to another climate, will permit increasing purchase volumes of industrial products that the Russian market is interested in, he explained.

"Overall, for diversifying trade turnover we consider it crucial to enter into an agreement on free trade between the Eurasian Economic Union and India. We plan to start the negotiation process shortly," Manturov added.

Moreover, last year showed how much the financial and banking system relied on political factors, which is why further "cooperation between Russia and India, same as international relations overall, are connected with the shift to settlements in national currencies," the official pointed out.

Earlier this week Indian Foreign Minister Subrahmanyam Jaishankar said at the opening of business dialogue coinciding with the 24th meeting of the intergovernmental Russian-Indian commission, that the Indian side was disquieted by the imbalance in trade with Russia, adding that the two countries should look for ways to correct it as soon as possible.