Commerce Secretary to Visit Brazil, Argentina, Chile to Deepen Trade Ties

Commerce Secretary Rajesh Agrawal is set to embark on a three-nation tour of South America from August 24 to 28, according to government sources. The visit is aimed at strengthening India's trade engagement with the region.

During the trip, Agrawal will chair joint trade committee meetings with Brazil and Argentina. He will then travel to Chile to push forward negotiations on upgrading the existing India-Chile Preferential Trade Agreement (PTA) into a comprehensive Free Trade Agreement (FTA).

Officials indicate that the FTA talks with Chile are in an advanced stage, with only a few unresolved issues remaining. A government source noted that the effort is to see how far the discussions can move, as both sides are close to a deal.

The key sticking points revolve around market access and critical minerals. While Chile is seeking deeper access to the Indian market, India is looking for greater engagement on critical minerals from the resource-rich nation. The source added that efforts are underway to balance these two areas of discussion.

New Delhi increasingly views South America as a vital market for trade diversification. Sources also said India is keen to engage with the MERCOSUR bloc—comprising Brazil, Argentina, Paraguay, Uruguay, and Bolivia—for an expanded PTA, with the terms of reference for such an arrangement currently under discussion.