Indian Economy News

India and the LAC Region should target US$ 100 billion trade by 2027: Union Minister Mr. S. Jaishankar

India's External Affairs Minister, Mr. S. Jaishankar, stated on August 3, 2023, that India and the Latin American and the Caribbean Region should aim to double their trade to US$ 100 billion by 2027.

Speaking at the opening session of the India-LAC Conclave, which was organised by the External Affairs Ministry (EAM) and the Confederation of Indian Industry (CII), the Union Minister suggested that since legal mobility is becoming more important and mutually beneficial in the knowledge economy, the two sides should also consider negotiating mobility agreements.

According to the data, the trade between the two regions was close to US$ 50 billion in 2022-23. India’s exports to Brazil stood at US$ 10 billion, almost twice as much as it exported to Japan.

In order to increase trade and economic cooperation between India and LAC countries, the EAM proposed a plan with four pillars.

“The two sides should look at supply chain diversification since the Covid-19 pandemic had highlighted the need for resilient supply chains for redundant sourcing, diversified production, and food and energy security”, Mr. S. Jaishankar said. He added that given India’s status as the fifth largest economy and the country’s rising demand for oil, gas, strategic minerals, and food, the two sides should work on resource partnerships.

The two sides should exchange development-related experiences, such as digital capabilities, health solutions, and agricultural practices. India can offer customised training and exchanges for LAC nations in this situation, according to the Union Minister.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.