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Moscow diary: Sanctions fail to stifle spirit of Russia

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Winston Churchill’s statement that Russia is a riddle wrapped in a mystery inside an enigma suggests that the Anglo-American world often does not get what is going on in that country. Is that still true?

Ten days in Moscow provides glimpses of much that may not be known, especially in India, about life in Russia since the war in Ukraine began on February 24, 2022.

No shadow of war, no sign of sanctions
On arrival at Moscow’s Sheremetyevo Airport on a Sunday morning, I find the human traffic flowing out rather thin. Sanctions have kept out flights from the West, except Turkey. The English-speaking taxi-driver tells me that taxis at the airport are badly hit by the US-led sanctions against Russia. Custom is thin and, therefore, the unwary tourist is fleeced more than usual. A colleague from China paid 5000 roubles for the 60 kms to his hotel. For those who know better, it should have been around ₽2300.

The hotel is full as are its breakfast hall and the coffee lounge. There is none of the gloom that one would expect of a country at war. Breakfast is more sumptuous than the usual continental spread in a four-star hotel; there’s far more of the fruits, salads, cakes, rolls, bread, cheese and freshly made dishes than anyone can conceivably eat.

During the week, on my outings, the abundance of grains, staples, vegetables and fruits in the supermarkets is hard to miss. There is no dearth of goodies either, including brands of chocolates, candies, cookies and liquor that flow in from the West. The restaurants are full and one has to wait for seats. Their thriving business continues till well past midnight. The young men and women who spill out of these places in the early hours have no fear of being mugged or molested. The late-night buses are quite full on some of the routes. On Thursday, Friday and Saturday only the early bird can find a table in these popular places for food and drinks. Like New York, it seems that Moscow too never sleeps.

Chinese automobiles rule the road
The automobiles that speed by on Moscow’s broad roads come in all shapes, sizes and colours. Unlike during the time of the Soviet Union when I was last in Moscow. In that dour period, there was the small Lada, the mid-level Volga and Zil for the VIPs. Today, every brand that is available elsewhere in the world including in India is there in Moscow. The European and East Asian brands are more popular. And, thereby hangs a tale.

When the sanctions took effect, the European carmakers pulled out. The factories shut down. Until the Russians decided to get them running again. India was offered all these European plants at zero cost for producing cars. Neither the government nor the manufacturers in India rose to the offer; they refused to be persuaded by the Russian authorities into reviving their auto sector. Never one to miss an opportunity, the Chinese moved in, took over the auto manufacturing units and began rolling out the vehicles. Today, 90 per cent of the cars, the Euro and East Asian brands, on Russian roads are Chinese-made. Of course, the hardy Lada, which was briefly sighted in India too in a bygone age, is still made. It has been, as they say, sexed up, and among the upgraded models are also an electric version. It is ‘cheap’ (meaning low priced and, therefore, not fashionable), but a trusty car especially for the hardy rural folk.

The business of Russia is business
The great thing the Americans have done is make their ideological, and theological, enemies believe that they should make business their sole business; and, that this is the only way forward. Like the US, for long now, the business of China has been business; and, with results that are there for the world to see. Now, the business of Russia has become business.

Sanctions were meant to be a curse. Instead, many are wondering whether sanctions turned out to be a blessing and, perhaps, the catalyst that Russia needed to unleash its economic animal spirit and killer instinct. To all appearances, the economy and business are flourishing. The businesses that the West shut down and walked away from have been revived in a big way in Russia. Starbucks, KFC, McDonald’s are all up and running with a change of name and a larger menu.

Ditto for the branded businesses of the West in fashion, garments, shoes, accessories, electrical and electronic items, home and kitchen appliances, computers and mobiles etc. Many western enterprises have been revived by the Russians, thereby creating thousands of jobs. The Chinese may well be the other big unseen presence behind the revival. There are a lot of others, too: Arabs, Africans, East and Central Asians, Turks as well as former Soviet republics, especially Azerbaijan and Armenia, and (a small number) of South Asians.

Who is afraid of western sanctions?
Except where it is obvious and cannot be hidden, most businesses do not want to reveal the hand behind their revival. Fear of Uncle Sam runs deep among the non-Russians in the market here from the developing world. US goods, particularly the prized iPhone and Apple products are freely available in Moscow. Those running the outlets declined to say how and from where the supplies are flowing in. Those at the counters may not even know whether these came from Dubai or Ankara. All they say is, “supply chain is good for American goods”.

It is the Europeans who seem to be in a fix, seeing their abandoned units taken over and run successfully to great profit by others. Which may explain why Germany and the UK are talking about talking to Russia by pointing out that the sanctions are ineffective. While the EU economy has taken a big hit, the US, especially its oil and gas companies, are making huge profits; and this is what rankles among the losers in the West.

To all appearances, India’s government and big business and industry have kept away from taking over any enterprises in Russia. But Indians already in Russia, and there are 55,000 of them, are taking advantage of what their resources permit without advertising it. The NRI Club is doing its best to attract more Indians to venture forth given the abundant opportunities. One recent big-ticket acquisition by an Indian is the British School in Moscow. A lone case of the empire striking back.

Free vs paid education
Conventional wisdom in India is that what is free is rarely good and never the best. Anything of value comes at a price, and a good price at that. Which may explain the many private educational institutions, especially universities, that enjoy a reputation in spite of the exorbitant fees they charge.

In Russia, one socialist tradition that survives to much appreciation even today, is that courses in Moscow State University (MSU) are free. This is to ensure that excellence prevails at all levels in all courses and remains uncompromised. MSU is praised as the most elite of universities where the bar for admission is enviably high.

There are other universities in Moscow city which charge fees and are not shunned for that reason. In fact, they too have a good reputation and draw students and scholars from many countries in Africa, Asia and South America.

The biggest is Patrice Lumumba People’s Friendship University—a name that resonates across the world. Founded in 1960, it has 27,000 students, from over 50 countries, on its rolls and remains a favourite among developing countries. The fact that after the collapse of the USSR, the university began charging fees in 1993, has not dimmed its appeal especially for aspirants in Africa and Latin America. Students from 170 countries are reported to have graduated from Patrice Lumumba University.

Vodka—the spirit of Russia
Vodka is not just another drink you knock back. It is as sacred as it is celebratory in Russia. When I asked my teetotaller host whether I may order a whisky, he chided me—have vodka, don’t drink whisky here-as if it bordered on sacrilege.

In Soviet times, there was one popular brand; and then some. Now, there is an explosion of brands. The tried and tested, such as Stolichnaya (which patent was, I'm told, retrieved from the US like Crimea soon after the retaking of Crimea) and Beluga are still favourites. A new brand that is the rage among youth is Onegin. Every now and then a brand rises and then fades. There are literally hundreds of brands, each pricier than the other, in bottles and jars that come in an enticing variety.

Whether vodka is the best thing as its devotees claim or not, it is certainly a great leveller in Russia. Relished by all—young, old, men, women, the worker, the intellectual, the educated and the less educated, the posh and the proletarian, it is supremely classless. And, almost always the only drink served at many a gathering.

The author is a journalist. He travelled to Russia for a programme of the International School of Ecology on environment protection practices and climate change.
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