PM Modi, Brazil President Lula set bilateral trade target of USD 20 billion in next five years: MEA

BRASILIA: Noting ample opportunities for diversifying and expanding bilateral trade, Prime Minister Narendra Modi and Brazilian President Luiz Inacio Lula da Silva have set a target of 20 billion dollars to be achieved in the next five years, the Ministry of External Affairs said.

The two leaders discussed the “entire spectrum of the partnership”, Ministry of External Affairs (MEA) Secretary (East) P Kumaran said in Brasilia on Tuesday (local time), while addressing a special briefing on PM Modi’s State visit to Brazil.

He stated that PM Modi and President Lula discussed defence and security, agriculture, food and nutritional security, energy transformation and climate change, digital transformation, artificial intelligence and other emerging technologies and industrial partnerships.

“The two leaders noted that ample opportunities lie ahead for diversifying and expanding bilateral trade. They set a bilateral trade target of 20 billion dollars to be achieved in the next five years. They also decided to elevate the level of trade talks and establish a ministerial-level mechanism for monitoring trade, commerce and investment-related matters,” the MEA said.

“PM requested the support of Brazil in expanding the India-Mercosur trade agreement, especially given the fact that Brazil is the pro-term president for the rest of the year, noting that such an expansion can bring mutual benefits for both sides. President Lula conveyed Brazil’s support towards expansion of India-Mercosur PTA and instructed his team to work towards such expansion,” he added.

The MEA said that PM Modi was accorded a ceremonial welcome at the Brazilian President’s official residence.

“Prime Minister Narendra Modi arrived in Brasilia on a State visit yesterday evening after participating in the successful BRICS Summit held on 6th and 7th July at Rio. Prime Minister, on arrival, received a warm welcome from the Indian community. The visit to Brazil is the fourth visit in the last 10 years by PM Modi to Brazil. Infact, this is the second ever bilateral visit by an Indian Prime Minister to Brazil taking place after 57 years. The Prime Minister had earlier visited Brazil on three occasions, the first visit was in July 2014, followed by a visit in 2019, both were to attend BRICS Summits, and thereafter in November last year to participate in the G20 Summit in, all for multilateral engagements.

He said, “The Prime Minister was received warmly by President Lula and was accorded a ceremonial welcome on his arrival at Palacio de Alvarada, the official residence of the President of Brazil. To begin with, the Prime Minister held a restricted meeting with President Lula followed by delegation-level talks. The Prime Minister took the opportunity to thank President Lula for extending warm and gracious hospitality to him and his delegation in Brasilia as well as in Rio.”

“During the bilateral talks, both leaders discussed the entire spectrum of the partnership. Let me try and list out some of the key areas that were discussed. It includes defence and security, agriculture, food and nutritional security, energy transformation and climate change, digital transformation, artificial intelligence and other emerging technologies, industrial partnerships, including defence industries, critical minerals, oil and gas, and also bioenergy and pharmaceutical industry, and also business and private sector cooperation, including trade and investments. They also had an opportunity to talk about healthcare and traditional medicine, tourism, space, science and technology, and cooperation in the area of digital public infrastructure,” he added.

According to Kumaran, the two leaders reiterated their commitment to work together towards climate action and sustainability. He said PM Modi reaffirmed India’s support and wished President Lula success towards holding the COP30 climate change conference in Brazil.

He said, “Highlighting the global challenge of climate change, both leaders reiterated their commitment to work together towards climate action and sustainability. Prime Minister reaffirmed India’s support and wished President Lula success in holding the forthcoming COP30 climate change conference in Brazil.”

“Brazil’s rich reserves of critical minerals, including lithium, copper and rare earth elements, aligned with India’s need for secure and sustainable resources to drive its clean energy transition and industrial growth. Both leaders welcomed possible opportunities for collaboration in the area of mining, processing and refining of critical minerals,” he added.

Kumaran stated that PM Modi, during the meeting, proposed enhanced collaboration in sharing knowledge, best practices and technology transfer in various areas. He stated that the two leaders also discussed other areas of cooperation, including health and pharmaceutical sectors.

He said, “Both leaders also acknowledged the importance of the agriculture sector and its significant contribution to the economies on both sides. The Prime Minister proposed enhanced collaboration in sharing knowledge, best practices and technology transfer in various areas. It was also noted that both sides signed an MoU on cooperation and agricultural research. Other areas of cooperation that were discussed include health and pharmaceutical sectors, especially on India’s request for fast-tracking approval for entry into the Brazilian market for medicines that have been already approved by the US FDA or the European Directive for the Quality of Medicines (EDQM) for imports of medicines from India into Brazil.”

“The Indian side mentioned that this can result in cost-effective medical products in the Brazilian market. There was also discussion on collaboration in the area of digitalization and digital public infrastructure. There was also talk about enhancing people-to-people relations and connectivity, cooperation in the area of sports and sports management, capacity building, highlighting India’s strengths in cricket and Brazil’s strength in football.

“After the delegation-level talks, there was a signing and exchange of MoUs and agreements. Three agreements were signed today and exchanged in front of the President and the Prime Minister. These were the agreements on cooperation in combating international terrorism and transnational organised crime, an MoU on cooperation for the sharing of successful large-scale digital solutions for digital transformation, MoU on cooperation in renewable energy.”

Sharing details regarding the Memorandum of Understanding (MoUs) set to be signed between two nations, he said, “Three more agreements are ready to be signed and will be signed later today. These include an MoU on agricultural research between the concerned bodies on two sides, an agreement on the exchange and mutual protection of classified information, and an MoU for cooperation in the field of intellectual property, After the signing of the agreements, the Prime Minister was conferred with the Grand Collar of the National Order of the Southern Cross by President Lula. The Prime Minister dedicated this award to the Indian people and to the enduring friendship between the two countries.”

Kumaran stated that President Lula hosted a banquet lunch in honour of Prime Minister Modi and the two leaders discussed regional and multilateral issues of mutual interest.

“It was followed by a joint press statement between the two leaders. President Lula hosted a banquet lunch in honour of Prime Minister Modi. Over lunch, the two leaders exchanged views on regional and multilateral issues of mutual interest, especially on issues concerning the Global South and their determination to enhance South-South cooperation, including collaboration across the two countries, was all global platforms of which India and Brazil are members, such as BRICS, G20, IPSA, and also the UN,” he said.

MEA Secretary announced that PM Modi invited President Lula for a visit to India and the invitation was accepted by the latter. He said, “The Prime Minister invited President Lula to pay a visit to India, and the invitation was generously accepted by President Lula.”

Kumaran said, “I just want to highlight one point that I missed out earlier. On security interviews, the Prime Minister thanked President Lula for expressing firm condemnation and extending support and solidarity to the people of India in the aftermath of the Pahalgam terror attack on the 22nd of April that killed 26 innocent citizens. The Prime Minister also reaffirmed that India stands firm in its resolve to fight terrorism in all its forms and manifestations. President Lula expressed his full support in the fight against the menace of terrorism.”

PM Modi arrived in Brazil on Saturday (local time) after concluding his visit to Argentina, where he held a bilateral meeting with Argentine President Javier Milei. After Brazil, PM Modi will head to Namibia on July 9 and also address its parliament. (ANI)