India, Chile Aim To Complete CEPA Talks In 2026, Focus On Critical Minerals And Market Access

India and Chile have renewed their efforts to conclude negotiations for a Comprehensive Economic Partnership Agreement (CEPA) by the end of this year, with market access and critical minerals emerging as key areas of discussion.

The commitment was made during a meeting in Santiago between Commerce Secretary Rajesh Agrawal and Chile’s Vice-Minister of International Economic Relations, Pauls Estevaz Weinstein. Both sides reviewed the progress of negotiations and discussed the remaining issues that need to be resolved.

Critical Minerals Central to CEPA Talks

India is seeking a balanced trade agreement that delivers meaningful benefits for businesses in both countries. A major focus is establishing reliable supply chains for critical minerals, particularly lithium and copper.

Chile is a major global copper producer and forms part of South America’s Lithium Triangle, making it an important potential supplier for India’s electric-vehicle battery and clean-energy industries.

The proposed CEPA includes a dedicated chapter on critical and strategic minerals. India wants safeguards against unexpected supply disruptions and export restrictions, while Chile is seeking to encourage greater domestic processing of its mineral resources.

The two nations have conducted four formal rounds of negotiations so far. Talks were temporarily paused after Chile’s elections, but the new government has completed a review and indicated its willingness to restart discussions.

India-Chile Trade Expands

India and Chile currently trade under a Preferential Trade Agreement (PTA), originally signed in 2006. The pact was expanded in 2016, increasing the number of tariff lines covered from 474 to 2,829. In April 2025, both countries finalised the terms for upgrading the arrangement into a CEPA.

Chile has emerged as India’s fifth-largest trading partner in the Latin America and Caribbean region. Bilateral trade increased from $3.84 billion in 2024 to $5.38 billion in 2025.

Agrawal’s Latin America visit also includes Argentina and Brazil, where discussions are expected to cover broader trade cooperation and expansion of the India-Mercosur PTA. The pact, operational since 2009, currently covers only 450 tariff lines.