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Russia has reportedly withdrawn some troops, but the exact number is unclear |
It is the first time ministers from the 28 member states have convened since Russia's takeover of Crimea caused a diplomatic crisis.
Nato has bolstered annual air drills being held over Baltic countries later.
On Monday, Russia ordered a partial withdrawal of its troops from the border with Ukraine.
It is believed to have massed a force of several thousand soldiers there in recent days.
Russian President Vladimir Putin told German Chancellor Angela Merkel he had ordered the pullback, according to the German government.
Thousands of Russian soldiers are still said to be deployed along the eastern border of Ukraine.
Gazprom's chief executive Alexei Miller says the price of Russian gas for Ukraine has gone up to $385.5 (£231) per 1,000 cubic metres in the second quarter of 2014 from the previous rate of $268.5.
The decision ends a discount agreed before the political crisis between Ukraine and Russia.
Mr Miller added Ukraine's unpaid gas bills to Russia stood at $1.7bn.
Tensions between Russia and the West rose after the overthrow of pro-Kremlin Ukrainian President Viktor Yanukovych in February, following months of street protests.
Russia's subsequent decision to annex Crimea triggered a crisis in relations.
The US and EU have imposed sanctions on members of President Putin's inner circle and other officials. Russia has retaliated with its own sanctions on US politicians.
Nato foreign ministers are expected to discuss the formal suspension of co-operation with Moscow at the Brussels meeting.
In a statement, the alliance said ministers would speak to Ukrainian Foreign Minister Andriy Deshchytsia about ways to support Ukraine with its defence reforms.
They are also expected to look at options including situating permanent military bases in the Baltic states to reassure members in Eastern Europe.
Russia's actions in Ukraine have rattled nerves in Estonia, Latvia and Lithuania, which were part of the Soviet Union during the Cold War.
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Russia has said the troops deployed along its border with Ukraine are taking part in military exercises |
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Ukrainian forces have been leaving Crimea after Russia's military takeover of the peninsula |
Several Nato countries, including the UK, US and France, have offered additional warplanes.
'Crude violation'
Earlier, Ukraine condemned a visit to Crimea by Russia's Prime Minister Dmitry Medvedev and a delegation of government ministers.
A foreign ministry spokesman in Kiev said the highest-level trip to the Black Sea peninsula by officials from Moscow since its annexation by Russia was a "crude violation" of international rules.
Crimeans voted to leave Ukraine for Russia on 16 March, in a referendum condemned as illegal by the UN General Assembly.
Mr Medvedev announced that he would make Crimea a special economic zone, with tax breaks and reduced bureaucracy to attract investors.
He also vowed to quickly boost salaries and pensions, and to improve education, healthcare and local infrastructure.
Source: BBC World News
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