The negotiations between India and Chile, a South American nation, for a free trade agreement (FTA) are "close to completion", an official said on Wednesday.
The pact with the South American nation may help India access critical minerals, which are key inputs for electronics, auto, and solar sectors.
"Chile (talks) are close to completion...After the Union Budget, we will speed up the Chile negotiations and possibly close that also quickly," the official said.
India and Chile implemented a preferential trade agreement (PTA) in 2006 and are now negotiating to widen its scope for a comprehensive economic partnership agreement.
CEPA aims to build upon the existing PTA between the two nations and seeks to encompass a broader range of sectors, including digital services, investment promotion and cooperation, MSMEs (micro, small, and medium enterprises), and critical minerals.
The bilateral trade between India and Chile is modest. In 2024-25, India's exports to Chile were down 2.46 per cent to just USD 1.15 billion. Imports, however, grew 72 per cent to USD 2.60 billion.
The official also said that the review of FTA in goods with the 10-nation Southeast Asian bloc, Asean, is on and is "taking a shape".
Further, India is also going to start talks for a trade pact with Mercosur.
"Scoping study has just started on that," the official added.
The Mercosur bloc members are Brazil, Argentina, Uruguay, and Paraguay.
