In the wake of a significant labour shortage exacerbated by its ongoing military engagement in Ukraine, Russia is increasingly looking towards India to fill the void left by dwindling Central Asian migrant workers. With an estimated shortfall of 2.3 million workers, Moscow’s reliance on Indian nationals has surged, as evidenced by a dramatic increase in work permits issued over the past year.
A Shift in Labour Dynamics
Recent arrivals from India, such as Ajit, who has secured a one-year contract in the rubbish disposal sector, exemplify this new wave of migrant workers. “The money is good,” he noted as he navigated through Moscow’s busy airport, highlighting the appeal of employment opportunities in Russia. In stark contrast to the 5,000 work permits granted to Indians in 2021, the number skyrocketed to nearly 72,000 last year, representing a substantial portion of Russia’s annual migrant worker quota.
This shift is largely due to the decline in workers from Central Asia, who traditionally filled many of these roles without the need for visas. Factors such as a weakening rouble, stricter migration policies, and a growing anti-immigrant sentiment have contributed to this decline, prompting Russian officials to seek labour from further afield.
Strengthening Ties Between Russia and India
The increasing influx of Indian workers is also reflective of the strengthening diplomatic and economic relations between Moscow and New Delhi. India has been a significant buyer of discounted Russian oil, a situation made necessary by Western sanctions that have limited Russia’s access to other markets. In December, President Vladimir Putin and Indian Prime Minister Narendra Modi signed an agreement facilitating easier work arrangements for Indian nationals in Russia, with officials indicating that there could be no limit on the number of Indian workers admitted.
Denis Manturov, Russia’s first deputy prime minister, has emphasised the urgent need for foreign labour, estimating that around 800,000 workers are required in the manufacturing sector alone, with an additional 1.5 million needed in construction and services.
The Experience of Indian Workers
Companies in Russia have begun to adapt to this new labour landscape. For example, Brera Intex, a textile firm in Moscow, has hired ten Indian workers to assist in the production of curtains and bed linens. Gaurav, a 23-year-old migrant who has been in Russia for three months, expressed his satisfaction with both the work and the living conditions. “Russian life is very good,” he remarked, while also noting his daily communication with his family back home.
Olga Lugovskaya, the owner of Brera Intex, shared her observations on the adaptability of the Indian workers. “Some of the guys didn’t even know how to switch on a sewing machine,” she said, yet after a few months, they became proficient. This adaptability is crucial for companies facing labour shortages.
Agricultural Sector Also Benefits
Beyond manufacturing, Indian workers are also making their mark in agriculture. At the Sergiyevsky farm, Indian employees are integral to the processing and packaging of vegetables, earning an average monthly salary of around 50,000 roubles (approximately $660). Sahil, a 23-year-old worker from Punjab, highlighted the financial benefits of working in Russia compared to India, stating, “In India, there is little money, but here there is a lot of money.”
Why it Matters
The increasing reliance on Indian labour not only highlights Russia’s urgent need to address its workforce deficit but also signals a shift in geopolitical alliances in the region. As Moscow navigates the impacts of ongoing sanctions and political pressures, the influx of Indian workers may serve as a crucial lifeline for its economy while simultaneously strengthening ties between two nations. The long-term implications of this trend could reshape labour markets in both countries and influence international relations in the Asia-Pacific region.
