- India and Brazil will sign an MoU on cooperation in critical minerals and mining sectors
- Bilateral trade reached $15 billion in 2025, targeting $20 billion by 2030
- Brazil holds the world's second-largest rare earth reserves, crucial for tech and clean energy
India and Brazil are set to deepen their economic and strategic partnership, by signing a memorandum of understanding (MoU) on cooperation in critical minerals and mining, a sector increasingly vital to global high-tech and clean-energy supply chains, as per the joint statement by Prime Minister Narendra Modi and Brazilian President Luiz Inacio Lula da Silva at the Hyderabad House in New Delhi.
Bilateral trade between the two nations topped $15 billion in 2025, making India Brazil's 10th largest export market. Both sides have set an ambitious target to raise trade to $20 billion by 2030, reflecting growing commercial integration. Modi has stated that India and Brazil will work to push trade beyond $20 billion within the next five years, aligning with India's broader push for diversified and resilient supply chains.
Brazil, home to the world's second-largest reserves of rare earth elements, has emerged as a key player as countries seek alternatives to China's near-monopoly in the sector. These minerals are crucial for electric vehicles, solar panels, smartphones, jet engines, and defence systems. India, aiming to reduce reliance on China, has been expanding domestic production, boosting recycling, and actively scouting for new sourcing partners.
Brazilian President Luiz Inacio Lula da Silva arrived in New Delhi on Wednesday with a high-level delegation of ministers and business leaders ahead of a major global summit. On Saturday, he received a ceremonial welcome and paid tribute to Mahatma Gandhi before beginning formal talks with Prime Minister Narendra Modi. Officials confirmed that the leaders are expected to sign the MoU and hold discussions on strengthening trade links.
The visit comes at a time of heightened geopolitical churn, with both India and Brazil having been hit by U.S. tariffs in 2025-an episode that reinforced their shared interest in stronger South-South cooperation and more stable multilateral trade frameworks. Leaders are expected to discuss global economic headwinds and the need for coordinated responses within major emerging economies.
Brazil remains India's largest partner in Latin America, exporting sugar, crude oil, vegetable oils, cotton, and iron ore-the latter increasingly in demand due to India's rapid infrastructure expansion and its trajectory toward becoming the world's fourth largest economy.
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