India was among 19 countries, including China, which participated in the high profile event.
Official sources said the Indian team could not advance to the next level following breakdown of its two T-90 tanks.
The Tank Biathlon commenced at Alabino Ranges on July 29.
A total of 19 countries have participated in the event and the top 12 of them were to be selected for stage II relay race.
The competition is an international event conducted as part of the International Army Games held every year since 2013 at Alabino Ranges in Russia.
The Indian Army team has been participating in the competition for the past three years.
Sources said it was for the first time that the Indian team was participating with its own T-90 tanks at the competition.
The competition simulates actual battle field conditions involving driving at high speed and entails switching from one mode of operation to another at a fast pace.
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