India has signed a major agreement with Brazil aimed at strengthening cooperation in mineral trade and the mining sector, as New Delhi seeks to secure critical raw materials amid intensifying global competition and rising domestic steel demand.
The pact was formalized on Saturday in New Delhi in the presence of Indian Prime Minister Narendra Modi and Brazilian President Luiz Inácio Lula da Silva, who arrived earlier in the week for a three-day official visit.
According to an official statement, Brazil—one of the world’s largest producers of iron ore—holds substantial reserves of minerals essential for steel production. Enhanced collaboration is expected to help India ensure stable access to raw materials and advanced technologies necessary for sustaining long-term growth in its steel industry.
Under the agreement, both countries will focus on mineral exploration, mining, and attracting investments to upgrade infrastructure across the steel and mining sectors.
India’s current steel production capacity stands at 218 million metric tons. With infrastructure expansion and accelerating industrialization driving domestic demand, numerous companies in the country are already working to scale up production.
During talks with the Brazilian delegation, Prime Minister Modi highlighted the importance of deepening economic ties.
“We are committed to taking bilateral trade well beyond 20 billion dollars over the next five years,” he said.
At present, trade between the two nations stands at around 15 billion dollars.
Modi added that India and Brazil will intensify cooperation across multiple emerging sectors, including technology, innovation, digital public infrastructure, artificial intelligence (AI), and semiconductors.
India and Brazil have been strategic partners since 2006, collaborating in diverse areas ranging from trade, defense, energy, agriculture, and health to critical minerals, technology, and digital infrastructure. Brazil also remains India’s largest trading partner in Latin America and the Caribbean. The two countries continue to work closely on global issues such as UN reforms, climate change, and counterterrorism.
Source: Reuters.