India is preparing for important trade talks with Chile and Peru, two major South American countries. These discussions will happen in October and November 2025 and are expected to strengthen India’s economic ties with the region.
The goal is to expand cooperation, increase exports, and create new business opportunities between India and these two Latin American nations.
When and Where Are the Talks?
According to government officials, India will hold two separate rounds of negotiations.
- The five-day talks with Chile will start on October 27 in Santiago.
- The three-day talks with Peru will begin on November 3 in Lima.
Each country will negotiate its own agreement based on trade needs and opportunities.
Expanding the India–Chile Trade Deal
India and Chile already have a Preferential Trade Agreement (PTA) that was signed in 2006. The new goal is to upgrade it to a Comprehensive Economic Partnership Agreement (CEPA).
The CEPA will not only cover trade in goods but also focus on:
- Digital services
- Investment promotion and cooperation
- Support for MSMEs (micro, small, and medium enterprises)
- Critical minerals and technology exchange
This upgraded deal is expected to help more Indian companies enter Chile’s growing markets and improve access for Chilean products in India.
Strengthening Trade with Peru
India’s talks with Peru will enter their eighth round in November 2025. The aim is to increase trade volume and cooperation in new industries such as manufacturing, technology, and mining.
Peru has become India’s third-largest trading partner in the Latin American region. These discussions could lead to better export opportunities for Indian products and help both countries grow together.
Trade Snapshot: India, Chile, and Peru (2024–25)
Below is a simple table showing trade numbers between India, Chile, and Peru.
| Country | India’s Exports | India’s Imports | Major Exports to Country | Major Imports from Country |
|---|---|---|---|---|
| Chile | USD 1.15 billion | USD 2.60 billion | Autos, pharmaceuticals, fabrics, chemicals, steel | Minerals (USD 1.58 billion), copper, chemicals |
| Peru | USD 1.00 billion | USD 4.98 billion | Motorcycles, pharmaceuticals, plastics, steel, tyres | Gold, copper, phosphates, grapes, fish flour |
In 2024–25, India’s exports to Chile fell slightly by 2.46%, while imports grew by 72%. India’s trade with Peru showed strong growth — exports increased by 9%, and imports jumped by 60%.
Why These Talks Matter
- More Business Opportunities: CEPA will cover more areas, including services, digital trade, and investments.
- Access to New Markets: Indian products like pharmaceuticals, automobiles, and textiles could reach more customers in South America.
- Energy and Minerals Cooperation: Both Chile and Peru are rich in copper, gold, and other minerals that India needs for industries.
- Boost for MSMEs: The talks will help small and medium businesses from India connect with new partners.
Challenges Ahead
While the talks are promising, they are also complex. Both sides need to agree on fair trade terms, tariff rates, and investment rules. Political and policy changes in any country can also delay progress. Ensuring that small businesses benefit equally will be another key challenge.
The upcoming trade talks between India, Chile, and Peru are an important step in expanding India’s global reach. These discussions could create new paths for business, investment, and technology sharing.
If successful, the agreements will help India strengthen its position in Latin America, boost exports, and give Indian industries access to essential minerals and markets. The world will be watching as these trade talks shape the future of India’s partnerships in South America.
