Within the framework of a visit by a Brazilian mission to India, carried out between October 15 and 17, India and Brazil agreed to expand, within one year, The Tariff Preference Agreement in force between the Asian country and the MERCOSUR member states, at a time when both countries are seeking to strengthen their bilateral relations, according to official sources.
The decision was made by the Vice President of Brazil and Minister of Development, Industry, Trade and Services, Geraldo Alckmin, and the Minister of Commerce and Industry of India, Piyush Goyal, during a meeting held on October 16 in New Delhi. During the meeting, both highlighted the interest of India and the MERCOSUR countries in “deepen the Trade Preference Agreement in force since 2009, with the aim of promoting bilateral trade and investment,” the parties stated in an official statement issued by the Indian Ministry of Commerce and Industry.
The joint statement details that "the expansion of the agreement must be substantial," encompassing both "tariff preferences and non-tariff issues related to trade and economic cooperation." Furthermore, the parties agreed to "promote the active participation of the private sector and other stakeholders in the negotiations" and to "establish a technical dialogue, including a meeting of the Joint Administration Committee, to define the scope of the expansion."
The delegations committed to concluding the negotiations “within one year of their launch,” and Brazil announced that it will work “in a coordinated manner with its MERCOSUR partners to achieve a substantial, rapid and mutually beneficial deepening of the agreement.”
The Preferential Trade Agreement between MERCOSUR and the Republic of India, in force since 2009, currently covers 450 tariff lines by India y 452 by MERCOSUR, with preference margins ranging from 10% to 100%, depending on the product category.
Bilateral progress
Significant progress was also made during the mission. The issuance of "e-business visas by the Brazilian Embassy and Consulate in India" and the creation of the "Brazil-India Joint Center on Digital Public Infrastructures (DPI)" were announced. Furthermore, the following legal instruments were enacted: bilateral agreements on investments and double taxation, and the export of new animal products to the Indian market was authorized.
In this way, Brazil and India celebrate 77 years of diplomatic relations, while Asia consolidates its position as a strategic region for Brazilian trade policy.
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