New DelhiIn a blow to the West, Mr Modi is expected to reassure Putin that India will not join a USbacked, anti-Russia security partnership with Japan and Australia.
Talks of such an alliance began to spread last year.
Officials revealed the two leaders will meet for four to six hours in the Black Sea resort of Sochi, in the hope to further strengthen the special and privileged relationship between Moscow and New Delhi.
One of the key issues that will be discussed by the two leaders in the informal talks is the fate of Russias previously agreed military exports to India, which is estimated to be worth $12billion (£8.9billion).
New Dehli has bought more military supplies from Russia than any other country.
Last month at a major military exhibition, defence companies from both countries have signed seven agreements for manufacture of spare parts for the Russian defence equipment being used by the Indian armed forces.
The Indian ministry of defence had identified 48 items which can be made in India with the Russian collaboration.
The products to get support include helicopters, aircraft and naval systems.
However, the US sanctions imposed against Moscow are likely to impact the Russian military supplies to New Delhi and so is the US administrations recent decision to pull out of the Iran nuclear deal.
The Countering Americas Adversaries through Sanctions Act (CAATS) was passed by the US Congress last year and not only penalises Russias own industries and companies, but it can also sanction third-country companies working with Russian entities.
This includes Russia’s official arms trader Rosoboronexport, which is the only state organisation in Russia for exporting the entire range of military products.
US official Tina Kaidanow, the Principal Deputy Assistant Secretary for Political-Military Affairs, warned India “to evaluate any potential large defence purchase from Russia seriously.
She also stated that New Delhi must not “enable” Russia’s “malign behaviour.”
However, a senior Indian official struck back saying: We are not going to allow our defence requirement to be dictated by any other country.
We have conveyed this to the Capitol Hill.
Russia has been a reliable and trusted partner.
The fall in Russias share of military products cannot entirely be blamed on US sanctions as even before Indian Prime minister Modi was elected in 2014, New Delhi started to have closer ties to America.
According to Indian officials, India experienced difficulties with deadlines, costs and spare-parts supplies with Russian companies.
However, New Delhi has been lobbying the Trump administration on the issue.
During the summit, the two leaders will also discuss nuclear cooperation at Indias largest nuclear power station, which is being constructed in the south of the country.
If the project is a success, it could set the path of the countrys energy industry, which is one of the main concerns for its rapidly growing economy.
The US sanctions imposed against Moscow are likely to impact the Russian military supplies so is the US administrations recent decision to pull out of the Iran nuclear deal.
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