India, Chile aim to finalise CEPA by year-end after fast-track talks
- IBEF
- October 7, 2025
India and Chile are expediting negotiations to conclude a Comprehensive Economic Partnership Agreement (CEPA) by the end of 2025, according to an official familiar with the matter. A delegation from India’s Department of Commerce is scheduled to visit Santiago, Chile, on October 25, 2025, for the third round of negotiations. Discussions have advanced on market access, with both sides finalising their offer lists to be exchanged before the next round of talks. India is also proposing the inclusion of a dedicated chapter on critical minerals to strengthen cooperation in securing essential raw materials. The CEPA is designed to build upon the existing Preferential Trade Agreement (PTA) and expand collaboration into new areas such as digital services, investment promotion, Micro, Small, and Medium Enterprises (MSMEs), and critical minerals, fostering deeper bilateral economic integration.
The proposed CEPA aligns with India’s broader strategy to diversify trade partnerships and secure critical mineral supply chains amid growing global geopolitical shifts. The two countries share a long history of trade cooperation, beginning with a framework agreement on economic cooperation in 2005, followed by a PTA in 2006 and its expansion in 2016. Subsequent negotiations in 2019-2021 laid the groundwork for the current CEPA discussions. In FY25, bilateral trade between India and Chile stood at Rs. 33,281 crore (US$ 3.75 billion), with India exporting goods worth Rs. 10,206 crore (US$ 1.15 billion) and importing goods valued at Rs. 23,075 crore (US$ 2.60 billion), resulting in a trade deficit of Rs. 12,869 crore (US$ 1.45 billion). The new agreement aims to rebalance trade by expanding market access and boosting investments across technology, manufacturing, mining, and services sectors.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
Partners
