India, Brazil ink critical minerals deal, set $20bn trade target by 2030
India and Brazil signed an agreement on 21 February to deepen cooperation on critical minerals and rare earths, aiming to diversify sources and expand trade and investment.
The agreement was signed during Brazilian President Luiz Inacio Lula da Silva's official visit to New Delhi.
“The agreement on critical minerals and rare earths is a major step towards building resilient supply chains,” Indian Prime Minister Narendra Modi said.
Lula added that “Increasing investments and cooperation in matters of renewable energies and critical minerals is at the core of the pioneering agreement that we have signed today.”
Both BRICS+ members also announced a goal to raise bilateral trade to $20 billion over the next five years.
Modi called Brazil India’s “largest trade partner in Latin America” and said, “We are committed to taking our bilateral trade beyond $20 billion in the coming five years.”
The agreement was signed after talks in New Delhi between Modi and Lula, who met during Lula’s visit to the summit on artificial intelligence and discussed boosting trade and investment opportunities.
At a media briefing, senior Indian foreign ministry official P. Kumaran said Lula had presented Brazil’s “substantial critical minerals and rare earth reserves,” noting that “only 30 percent of their reserves have been explored and that there is substantial scope for exploration, processing minerals and also using them.”
Rishabh Jain of the Council on Energy, Environment and Water told AFP that while ties with the US, France, and the EU offer access to advanced technologies and finance, “Global South alliances are critical for securing diversified, on-ground resource access and shaping emerging rules of global trade.”
In addition to the minerals accord, nine other agreements were finalized, covering digital cooperation, health, and entrepreneurship.
“Our trade is not just a figure, but a reflection of trust,” Modi said, adding that “When India and Brazil work together, the voice of [the] Global South becomes stronger and more confident.”