📰 India and Chile Accelerate CEPA Negotiations to Strengthen Trade and Critical Mineral Partnerships
India and Chile are fast-tracking negotiations for a Comprehensive Economic Partnership Agreement (CEPA) aimed at deepening bilateral trade, securing access to critical minerals, and expanding cooperation across multiple strategic sectors. The renewed momentum follows the high-level visit of Chilean Foreign Minister Francisco Pérez Mackenna to India in May 2026, where discussions were held with India’s Commerce and Industry Minister Piyush Goyal and other officials. 🌍🤝
The proposed agreement is expected to significantly expand the existing 2006 Preferential Trade Agreement (PTA) between the two nations and create a stronger framework for long-term economic collaboration.
A major aspect of the CEPA negotiations is India’s effort to secure stable and direct access to Chile’s rich reserves of critical minerals. Chile is one of the world’s leading producers of lithium and copper—key raw materials required for electric vehicles, battery storage systems, semiconductors, electronics, and renewable energy infrastructure.
India is reportedly negotiating a dedicated framework within the agreement to strengthen cooperation in sourcing, mining, and processing these strategic minerals. The move is aimed at reducing dependence on global supply chains dominated by a limited number of countries and ensuring long-term resource security for India’s growing clean energy ecosystem.
Beyond minerals, the proposed CEPA includes over 20 negotiation chapters covering digital trade, technology transfer, investment promotion, logistics, agribusiness, and infrastructure development.
India is also seeking improved market access in Chile for sectors such as pharmaceuticals, engineering goods, textiles, and automobile components to balance the growing trade gap between the two countries.
For Chile, deeper economic engagement with India offers an opportunity to diversify export markets and strengthen ties with one of the world’s fastest-growing economies.
Institutional collaborations have already begun taking shape. India’s state-owned Hindustan Copper Limited recently signed a Memorandum of Understanding (MoU) with Chile’s mining giant CODELCO to promote cooperation in mineral exploration, mining technologies, and processing.
The Chilean delegation also visited Bengaluru’s technology and innovation centers to explore partnerships in biotechnology, startups, and digital research.
Both governments have directed their negotiating teams to expedite discussions and finalize the CEPA framework within the year. The agreement is expected to create new opportunities for trade, investment, and industrial collaboration while strengthening strategic and economic ties between India and Chile.
The partnership reflects India’s growing focus on securing critical resources, diversifying trade relationships, and building resilient global supply chains for future industries. 🌍📈
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