India and Brazil have signed a significant agreement to strengthen cooperation in the mining and mineral sectors. Brazil is renowned as a primary source of minerals essential for steel production and stands as one of the world’s leading producers of iron ore. This partnership is expected to facilitate India’s access to critical raw materials and technology, enabling the country to meet its rising domestic demand for steel and industrial growth. The agreement was signed during Brazilian President Luiz Inácio Lula da Silva’s current official visit to New Delhi, in the presence of President Lula and Indian Prime Minister Narendra Modi.
Prime Minister Modi stated that the two nations aim to increase bilateral trade to over $20 billion within the next five years, up from the current $15 billion. The newly signed accord will pave the way for increased investment in the mining and minerals sectors. Furthermore, the Prime Minister highlighted that both countries would collaborate in fields such as technology, innovation, digital public infrastructure, artificial intelligence, semiconductors, and other related industries.
India and Brazil have maintained a strategic partnership since 2006, cooperating across various sectors including trade, energy, agriculture, digital technology, minerals, defense, and healthcare. Brazil remains India’s largest trading partner in the Latin American and Caribbean region. During the discussions, President Lula encouraged the use of local currencies for bilateral trade instead of the US dollar. However, while both nations are members of the BRICS bloc, he set aside discussions regarding the potential introduction of a common BRICS currency.
