India and Brazil Forge Stronger Trade Ties with Focus on Critical Minerals

New Delhi – India and Brazil are significantly strengthening their economic partnership, with a new agreement focusing on increased bilateral trade and a crucial deal for rare earth elements. The move aims to boost commerce beyond $20 billion over the next five years and reduce India’s reliance on China for critical minerals essential for various industries.

Strategic Partnership Deepens

Indian Prime Minister Narendra Modi and Brazilian President Luiz Inacio Lula da Silva met in New Delhi on Saturday, February 21, 2026, to formalize the agreements. The discussions centered on deepening commercial ties and exploring collaboration in key sectors, including technology, public digital infrastructure, artificial intelligence, energy, and agriculture Reuters.

Rare Earth Minerals Deal

A key component of the partnership is a framework deal concerning rare earth elements. This agreement is designed to help India diversify its supply chain and lessen its dependence on China, which currently dominates the global market for these minerals Al Jazeera. These minerals are vital for the production of electronics, clean energy technologies, and defense systems Aawsat.

Trade Targets and Visa Extensions

Prime Minister Modi expressed his commitment to elevating bilateral trade beyond the $20 billion mark within the next five years X (formerly Twitter). President Lula da Silva, yet, suggested an even more ambitious target of $30 billion, citing the significant growth in trade between the two nations – from $2.4 billion in 2006 to $15.2 billion in 2025 Al Jazeera.

To further facilitate economic and cultural exchange, India and Brazil have agreed to extend the validity of business and tourist visas from five to ten years Al Jazeera. President Lula emphasized that increasing mutual interest, evidenced by over 100 Brazilian business missions visiting India in the last three years, will drive further cooperation.

Lula’s Visit and Participation in Key Summits

President Lula arrived in New Delhi on Wednesday for a state visit, during which he participated in India’s AI summit and a Brazil-India Business Forum Reuters. These engagements underscore the commitment of both countries to explore new avenues for collaboration and innovation.