This paper is an endeavour to appraise the importance and 'value' of India-US defence exercises for Indian policy makers. It examines their dividends, costs, and pitfalls. The paper argues that such combined exercises are not only useful in functional terms but are also necessary. While such exercises are invariably embedded in inter-state relations and grand-strategic issues, in this case the paper confines itself to operational and military-strategic issues.

The most visible manifestation of a strategic relationship between two countries is cooperation in the defence sphere. When the Defence Framework Agreement was signed in June 2005, it was widely assumed that the Agreement provided a skeleton that would be fleshed out over a period of time.

Co-operation in the field of defence constitutes one of the most important features of Indo-Russian bilateral ties. However, the relationship is undergoing significant changes in the new context of market reforms and globalisation, as well diversification of acquisitions by India. Owing to the past legacy and ongoing projects, Russia will remain, at least for the foreseeable future, a major defence partner of India.

Prime Minister Manmohan Singh’s visit to Moscow from December 4-6, 2005 highlights the continued importance of Indo-Russian cooperation in a changing geopolitical scenario. Beginning with President Vladimir Putin’s first visit to India in October 2000, bilateral summits between the Indian Prime Minister and the Russian President, alternatively in each other’s capital, have become an annual feature. In contrast, President Putin’s predecessor, President Boris Yeltsin visited India only once, in January 1993.

Before and during World War II, India was one of the many territorial commands of the British imperial defence system. When India became independent, the country was totally reliant on Britain for its armaments for the three services. There was some left over equipment of the US armed forces from the World War II period – Dakota aircraft, some Sherman tanks and transport vehicles.

Military diplomacy has long been one of the essential constituents of international diplomacy and an effective method to foster bilateral and regional relationships. Arms transfers serve as an important foreign policy tool and have become, a crucial dimension of world politics. Conventional arms transfers entail not only the provision of weapons/ equipment but carry with them a number of military commitments that have long‐term implications. The PLA has always had a significant role in shaping and implementing China's foreign policy.