India–Brazil Pacts on Critical Minerals, Steel Mining and Trade
Why in the news
During Brazilian President Luiz Inácio Lula da Silva’s visit to India, the two countries signed pacts on rare earths and critical minerals and on steel mining, and agreed to widen trade and digital ties.
Key facts
- Agreements cover rare earth and critical minerals and steel mining.
- A Joint Declaration and Action Plan on Digital Partnership for the Future was launched.
- Cooperation to be strengthened in defence, renewable energy, healthcare, agriculture, pharmaceuticals and South-South cooperation.
- Plan to expand the India-Mercosur Preferential Trading Agreement (PTA).
| Trade marker | Figure |
|---|---|
| Present annual trade | About USD 12-15 billion |
| Earlier target | USD 20 billion by 2030 |
| New Brazilian proposal | USD 30 billion a year by 2030 |
Significance
- Secures cooperation on minerals critical to industry.
- Raises the ambition on trade targets.
Exam angle
- Visiting leader: Brazilian President Luiz Inácio Lula da Silva.
- Trade target proposed by Brazil: USD 30 billion by 2030.
- Trade pact to be expanded: India-Mercosur PTA.