India–Brazil Strategic Engagement (Feb 2026): Trade, Critical Minerals and Global South Cooperation (UPSC GS2)
President Luiz Inácio Lula da Silva paid a State Visit to India (18–22 February 2026), after which India and Brazil agreed to deepen their Strategic Partnership with a clear economic push—most notably an achievable bilateral trade target of USD 30 billion by 2030. The engagement also formalised cooperation through multiple MoUs, including rare earths and critical minerals, MSMEs, and pharmaceutical regulation, alongside steps to strengthen people-to-people mobility such as extending multiple-entry tourist and business visas from 5 to 10 years on a reciprocal basis.
Strategic context: why this partnership matters now
India and Brazil are key members of platforms like BRICS and the IBSA Forum, and both leaders highlighted cooperation on Global South priorities and reforms of global governance institutions. The joint statement reaffirms the Brazil–India Strategic Partnership (established in 2006) and references a decade-long roadmap built around priority pillars such as defence & security, food security, energy transition & climate change, digital transformation/emerging technologies, and industrial partnerships in strategic areas.
In UPSC GS2 terms, this is a strong example of “Global South pivot” through issue-based partnerships—trade resilience, critical supply chains, clean energy, and digital public infrastructure.
Key outcomes you can quote (UPSC-ready)
1) Trade and economic cooperation
The leaders noted strong trade performance in 2025 and emphasised sustaining momentum to meet the USD 30 billion by 2030 trade target. They also directed efforts to reduce obstacles such as non-tariff barriers and to address issues like anti-dumping/countervailing duties in an effective manner to boost business confidence.
2) India–MERCOSUR PTA expansion (trade diversification)
The joint statement recalls the India–MERCOSUR Preferential Trade Agreement (PTA) (signed 2004; in force since 2009) and notes that its current scope can be significantly and substantially expanded to capture greater complementarities. Both sides reaffirmed political commitment and instructed authorities to intensify efforts to expand the agreement in a timely and structured manner to improve market access in agricultural/agro-industrial products and industrial goods.
3) Rare earths and critical minerals (resource security)
India and Brazil welcomed the signing of an MoU on rare earth elements and critical minerals, aimed at strengthening supply value chains and competitiveness across exploration, mining, processing, recycling and refining. For UPSC, this is directly linked to the global shift toward “secure and resilient supply chains” required for clean energy technologies and strategic manufacturing.
4) MSMEs: capacity building and institutional cooperation
The leaders welcomed an MoU on MSME cooperation, expected to support capacity building for policy/institutional frameworks through exchange of experts, and to facilitate training and technical assistance for managerial and technical skills.
5) Pharmaceuticals and health cooperation
Both sides welcomed expanding cooperation in the pharmaceutical sector and signed an MoU between Brazil’s ANVISA and India’s CDSCO to encourage closer regulatory cooperation and more expeditious approvals for reciprocal imports, with the objective of facilitating access to affordable quality medicines. The leaders also noted cooperation aiming at co-development and technology transfer of essential medicines, including for rare, oncological and socially determined diseases.
6) Renewables, biofuels and climate
The joint statement notes ongoing cooperation under the MoU on Renewable Energy signed in July 2025, covering solar, wind, biomass/bioenergy, waste-to-energy, hydropower, storage and hydrogen from low/zero emission technologies. It also highlights shared engagement in initiatives like the Global Biofuels Alliance (GBA) and the International Solar Alliance (ISA).
7) People-to-people: visa validity doubled
To deepen tourism and business engagement, both countries noted the entry into force of the reciprocal extension of multiple-entry tourist and business visas from 5 to 10 years. This is an enabling move to support trade targets and wider interpersonal connectivity.
Relevance for UPSC GS Paper II (IR)
- South-South cooperation: The partnership strengthens Global South coordination on trade, technology and climate-linked development pathways.
- Supply chain diplomacy: The critical minerals/rare earth MoU aligns with India’s need to diversify sources for clean-tech and strategic manufacturing inputs.
- Trade architecture: Expansion of the India–MERCOSUR PTA is a concrete step toward Latin America market access and diversification beyond traditional partners.
- Health diplomacy: Regulatory cooperation (ANVISA–CDSCO) supports faster approvals and resilient pharma supply chains.
FAQs
Q1. What is the India–Brazil trade target announced during the Feb 2026 engagement?
The leaders stressed pursuing an achievable target of USD 30 billion by 2030.
Q2. Which major new cooperation area is most strategic for clean energy supply chains?
The MoU on rare earth elements and critical minerals aims to strengthen cooperation across the critical minerals value chain.
Q3. What was decided regarding tourist and business visas?
India and Brazil noted the entry into force of reciprocal extension of multiple-entry tourist and business visas from five to ten years.
Q4. How does the engagement relate to MERCOSUR?
Both sides reaffirmed commitment to expand the scope of the India–MERCOSUR PTA to improve market access and deepen economic partnership.
Q5. What was signed in pharmaceuticals/health?
An MoU was signed between Brazil’s ANVISA and India’s CDSCO to promote closer regulatory cooperation and faster approvals for reciprocal imports.
Q6. Why is MSME cooperation important in this engagement?
The MSME MoU focuses on capacity building via exchange of experts, training, and technical assistance to improve managerial and technical skills.
