India and Brazil are on track to achieve $20 billion in bilateral trade, according to Brazil’s Ambassador to India, Kenneth Felix Haczynski da Nóbrega. The two countries are expanding commercial and strategic cooperation across critical minerals, defence, energy, pharmaceuticals and artificial intelligence (AI), creating new opportunities for businesses in both markets.
The latest optimism comes as India and Brazil prepare to mark 80 years of diplomatic relations. Bilateral trade has already crossed $15 billion, while the Brazilian ambassador has highlighted growing investment links and expanding business engagement. The two governments are also working to expand trade arrangements with the Mercosur bloc and strengthen cooperation in emerging technologies.
Key Takeaways
- India-Brazil bilateral trade is expected to reach $20 billion soon, according to Brazil’s ambassador.
- Trade between the countries reached approximately $15.21 billion in calendar year 2025.
- The two governments have set a more ambitious target of $30 billion in bilateral trade by 2030.
- Critical minerals, rare earths, defence, energy, pharmaceuticals and AI are emerging as priority areas.
- India is Brazil’s fifth-largest trading partner, according to the Brazilian ambassador.
- Indian investments in Brazil are estimated at more than $10 billion by the ambassador.
- More than 150 business and technology missions have been exchanged over the past three years.
- Both countries are exploring ways to expand the India-Mercosur preferential trade agreement.
India and Brazil Expect Bilateral Trade to Reach $20 Billion
The latest trade outlook was shared by Brazilian Ambassador Kenneth Felix Haczynski da Nóbrega on October 30, 2026, during an event marking Brazil’s National Day.
The ambassador said bilateral trade was expected to reach $20 billion soon, reflecting stronger political engagement and increasing business activity between the two countries.
The development follows several high-level exchanges between New Delhi and Brasília, including Prime Minister Narendra Modi’s visit to Brazil in 2025 and Brazilian President Luiz Inácio Lula da Silva’s visit to India in February 2026.
These engagements have helped expand cooperation beyond traditional merchandise trade into technology, healthcare, energy and strategic industries.
India-Brazil trade figures
| Particulars | Trade value |
|---|---|
| Bilateral trade in 2024 | Approximately $12.20 billion |
| Bilateral trade in 2025 | Approximately $15.21 billion |
| Bilateral trade in FY2025–26 | Approximately $15.07 billion |
| Ambassador’s near-term outlook | $20 billion |
| Joint target for 2030 | $30 billion |
The figures use different reporting periods. Calendar-year trade and Indian financial-year trade should not be treated as identical measures.
In February 2026, the two countries had already moved beyond their earlier $20 billion ambition and agreed to pursue a target of $30 billion by 2030.
Why India and Brazil Are Strengthening Trade Relations
India and Brazil have complementary economic strengths.
India has significant capabilities in pharmaceuticals, engineering, chemicals, information technology and digital services. Brazil is an important global supplier of agricultural commodities, minerals, energy resources and industrial products.
This creates opportunities for both countries to diversify their trading relationships and strengthen supply chains.
Brazil is also India’s largest trading partner in Latin America and the Caribbean, making it an important market for Indian exporters seeking to expand their presence in the region.
According to India’s Embassy in Brasília, bilateral trade reached $15.21 billion in 2025, with Indian exports of $8.35 billion and imports from Brazil of $6.85 billion.
Major products traded between the countries
| India’s major exports to Brazil | Brazil’s major exports to India |
|---|---|
| Refined petroleum products | Crude oil |
| Pharmaceuticals | Soybean oil |
| Agrochemicals | Raw sugar |
| Chemicals | Cotton |
| Engineering products | Iron ore |
| Textured filament yarn | Gold and other commodities |
| Unwrought aluminium | Other agricultural and mineral products |
The product mix highlights the potential for cooperation across energy, agriculture, manufacturing and healthcare.
Critical Minerals and Rare Earths Become Strategic Priorities
One of the most important areas of cooperation is critical minerals.
These materials are essential for manufacturing electric vehicles, batteries, renewable energy equipment, electronics and advanced technologies.
Brazil has substantial mineral resources, including materials important to modern industrial supply chains. India, meanwhile, is looking to diversify its sources of critical minerals as it expands domestic manufacturing and clean-energy capacity.
In February 2026, India and Brazil signed an agreement to strengthen cooperation in mining and mineral resources.
The agreement aims to encourage investment and collaboration in mineral exploration, mining technology and related industrial infrastructure.
The two countries have also agreed to connect their efforts on rare earths and critical minerals, according to the Brazilian ambassador.
For India, closer cooperation with Brazil could help diversify access to important raw materials and reduce reliance on a limited number of international suppliers.
AI, Defence and Digital Infrastructure Open New Opportunities
The partnership is also expanding into technology and defence.
The two countries have identified artificial intelligence, digital infrastructure, semiconductors and other emerging technologies as areas where collaboration could produce long-term economic benefits.
India has developed digital public infrastructure across payments, identity and public-service delivery. Brazil has also built significant digital capabilities, creating opportunities for knowledge sharing and technology partnerships.
Other areas of cooperation include:
- Artificial intelligence research and development.
- Digital public infrastructure.
- Semiconductor and advanced technology ecosystems.
- Defence and security cooperation.
- Cybersecurity and digital services.
- Research partnerships and technology exchange.
The defence relationship is another area of growing engagement. Both countries are looking to expand cooperation as they seek to strengthen domestic industrial capabilities and diversify international partnerships.
However, the announcement of cooperation priorities does not necessarily mean that specific contracts or investments have already been finalised.
Pharmaceuticals and Healthcare Could Boost Indian Exports
Pharmaceuticals are another important area where India sees opportunities in Brazil.
India has a large generic-drug manufacturing industry and supplies medicines to markets across the world. Brazil represents a significant opportunity for Indian pharmaceutical companies looking to expand in Latin America.
Both countries have been working to improve regulatory cooperation and market access for pharmaceutical products.
During the eighth meeting of the India-Brazil Trade Monitoring Mechanism in August 2026, officials discussed measures to facilitate access for Indian pharmaceutical products in Brazil.
The countries also have an institutional framework for cooperation between India’s Central Drugs Standard Control Organisation (CDSCO) and Brazil’s health regulator, ANVISA.
Improved regulatory coordination could help companies navigate product approvals and reduce barriers to cross-border pharmaceutical trade.
Indian Companies Expand Their Presence in Brazil
Investment flows are also strengthening the relationship.
The Brazilian ambassador said investments by leading Indian companies in Brazil had reached approximately $10 billion.
India’s Embassy in Brasília, meanwhile, estimates total Indian investments in Brazil at more than $15 billion. These estimates may reflect different definitions and coverage of investment, so they should not be treated as identical figures.
Indian companies have established operations across several Brazilian industries.
| Sector | Indian companies and areas of activity |
|---|---|
| Automotive | Tata Motors, Mahindra, Bajaj, TVS, Hero and Royal Enfield |
| Information technology | TCS, Infosys, HCL and Wipro |
| Pharmaceuticals | Sun Pharma, Zydus and Glenmark |
| Energy | ONGC Videsh and other Indian energy interests |
| Manufacturing | Automotive components and industrial products |
Brazilian companies are also expanding their presence in India. Aerospace manufacturer Embraer is among the prominent examples highlighted by the ambassador.
The exchange of more than 150 business and technology missions over the past three years has further supported commercial engagement.
India-Mercosur Trade Agreement Could Support Growth
India and Brazil are also working to strengthen trade ties through Mercosur, the South American regional trade bloc.
Mercosur includes Brazil, Argentina, Paraguay and Uruguay as full members.
India already has a preferential trade agreement with the bloc, but both sides see scope to expand and modernise the arrangement.
At the eighth India-Brazil Trade Monitoring Mechanism meeting in August 2026, officials reviewed progress on the terms of reference for expanding the agreement and committed to moving towards early finalisation.
Trade between India and Mercosur reached approximately $20.84 billion in 2025, according to India’s Ministry of Commerce and Industry.
A broader agreement could improve market access for businesses, encourage investment and help exporters diversify their international markets.
The Bigger Picture
India and Brazil are increasingly treating their relationship as a strategic economic partnership rather than simply a traditional trading arrangement. Cooperation in critical minerals, pharmaceuticals, digital infrastructure, defence and energy reflects the importance both countries place on diversifying supply chains and building industrial capabilities.
The $20 billion trade milestone would represent further progress, but the joint $30 billion target for 2030 is now the more ambitious benchmark. Achieving it will depend on expanding market access, improving trade facilitation, attracting investment and converting diplomatic agreements into commercial activity.
Looking Ahead
The immediate focus will be on increasing trade volumes and strengthening cooperation in sectors identified by both governments. Progress on the India-Mercosur agreement, pharmaceutical market access and critical-mineral partnerships will be important indicators of whether the relationship can move beyond announcements towards measurable business outcomes.
As India and Brazil approach 80 years of diplomatic relations, both sides are looking to build a more diversified economic partnership. Reaching $20 billion in trade would be an important milestone, while the $30 billion target by 2030 sets out the longer-term ambition for the relationship.
Frequently Asked Questions
1. How much trade does India have with Brazil?
Bilateral trade reached approximately $15.21 billion in calendar year 2025, according to India’s Embassy in Brasília. The Brazilian ambassador expects it to reach $20 billion soon.
2. What is the India-Brazil trade target for 2030?
The two countries have set a bilateral trade target of $30 billion by 2030. This is more ambitious than the earlier $20 billion target announced in 2025.
3. Who is the Brazilian Ambassador to India?
Kenneth Felix Haczynski da Nóbrega is Brazil’s Ambassador to India. He shared the latest outlook on bilateral trade on October 30, 2026.
4. What does India export to Brazil?
Major Indian exports include refined petroleum products, pharmaceuticals, agrochemicals, chemicals, engineering products, textiles and aluminium.
5. What does Brazil export to India?
Brazil’s major exports to India include crude oil, soybean oil, raw sugar, cotton, gold, chemicals and iron ore.
6. Why are critical minerals important to India and Brazil?
Critical minerals are essential for electric vehicles, batteries, renewable energy, electronics and advanced manufacturing. Cooperation could help both countries diversify supply chains and support domestic industries.
7. What is the India-Mercosur trade agreement?
India has a preferential trade agreement with Mercosur, a South American trade bloc that includes Brazil, Argentina, Paraguay and Uruguay as full members. Both sides are working to expand and modernise the agreement to improve market access.
8. Which Indian companies operate in Brazil?
Indian companies with operations or investments in Brazil include Tata Motors, Mahindra, Bajaj, TVS, Royal Enfield, TCS, Infosys, Wipro, Sun Pharma and Zydus.
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