India’s ties with many Latin American countries were established in the mid 20th century but it could not keep the pace with changing times which India has with other parts of the world including Asia and Europe. The long geographical distance and lack of political will has stopped them to take the relations to its full potential. However, now Indian and Latin American countries are trying to reinvent their relationship.
Political Cooperation getting boost: India has been partnering with regional organizations like CELAC, which is a regional bloc of 33 sovereign countries in Latin America and the Caribbean with a population of about 600 million, land area 6 times bigger than India and GDP of US$ 3 trillion. CELAC gives India a platform to interact directly with these 33 sovereign countries of this region. Most of the countries are positively disposed towards India. India-CELAC share common democratic values and developmental aspirations; and have common commitment to strengthening South-South Cooperation in the interest of developing countries.
In past despite the common economic considerations and shared interests the two regions which are part of Global South could not give impetus to high economic and political cooperation. The diplomatic relations were established with Brazil in 1948 and Argentina in 1949 along with Uruguay and Peru in 1960 and 1963 respectively.
In recent past Chilean President Gabriel Boric visited India in 2025 while President Luiz Inácio Lula da Silva visited in February 2026 which have boosted partnership with the Latin American countries. India has common interest in pursuing high partnership in areas such as minerals, energy, space, defence and agriculture.
Also, both India and Latin American countries favour wider reforms of the UN and its organs. The July 2025 BRICS Rio de Janeiro Declaration called for reform of the UN Security Council and greater representation for developing countries including those from Latin America and the Caribbean. The India-Brazil joint statement also recorded coordination on Security Council reform and Brazil’s support for India’s candidature for a non-permanent seat for 2028-29.
Trade Relations: India’s total trade with Latin America and Caribbean region, comprising of 43 countries, stood at USD 39.19 billion with exports worth USD 15.17 billion and imports of USD 24.02 billion in 2024-25.
India is trying to diversify its trade basket with Latin America by increasing its exports to the region. The trade deficit with Latin America needs to be plugged. Latin America is a supplier of energy, agriculture based products and minerals to the world. There is potential to export more of India’s products like pharmaceuticals, automobiles, information technology, engineering goods etc. to the Latin American markets which will also help in strengthening the relationship.
Brazil continues to be the chief economic and most trusted political partner in Latin America and also a member of BRICS and IBSA. India and Brazil signed a Strategic Partnership Agreement in 2006 and it was elevated to a Strategic Global Partnership in 2023. Argentina is also a strategic partner with India since 2019 and has concluded a Trade Agreement and a Multi-Dimensional Agreement for the same.
India and Latin America countries have also been looking at expanding the scope of their economic engagement with the aim of securing critical minerals and other resources. India has entered into trade agreements with Chile and also the South American trade bloc MERCOSUR which consists of Argentina, Brazil, Paraguay and Uruguay. India has also expressed interest to partner with Chile and Peru in the exploration of copper and other minerals which are abundantly available in the two countries.
The Government of India has also initiated talks with other countries for trade agreements and to increase bilateral trade. India is also partnering with Chile and Peru in order to increase bilateral trade and has also expressed its interest in the Latin American countries for cooperation in the areas of digital technology, pharmaceuticals, critical minerals and renewable energy. There is huge scope for cooperation in the copper, minerals and clean energy with Chile while Peru can give sizable market for mining. Argentina provides opportunities in oils, agriculture and energy while there is enough opportunities for cooperation in the area of sustainable development with Uruguay. Colombia and Mexico also offer opportunities in manufacturing, pharmaceuticals, technology and services.
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