India and Chile Ink Economic Deal: Focus on Critical Minerals

New Delhi [India], May 9 (ANI): India and Chile took a major step forward in strengthening their economic partnership by signing the Terms of Reference (ToR) for a Comprehensive Economic

Partnership


Agreement

(

CEPA

).

The Ministry of Commerce & Industry stated on Friday that this accord opens a new era in commercial ties between the two nations.

The Treaty of Reciprocity (ToR) was signed by Juan Angulo, the Ambassador of Chile to India, and Vimal Anand, the Joint Secretary at the Department of Commerce, who serves as the Chief Negotiator for India-Chile relations.

CEPA

from the Indian side.

The signing of the Terms of Reference represents the common goals of both nations to strengthen their relationship and boost economic collaboration.

The Ministry said, “India and Chile signed the Terms of Reference (ToR) for a Comprehensive Economic

Partnership


Agreement

(

CEPA

) on 08 May 2025, signifying a major step forward in their mutual trade relationship”.

It also added “The

CEPA

seeks to expand the current PTA between the two countries and aims to cover a wider array of sectors such as digital services, investment promotion and collaboration, support for micro, small, and medium-sized enterprises (MSMEs), and critical minerals. This move intends to strengthen economic integration and cooperation.”

The first round of

CEPA

The negotiations are set to occur between May 26 and 30, 2025, in New Delhi. Both nations reaffirmed their dedication to collaborating for a productive and all-encompassing accord.

Critical minerals will play a significant role in the future.

CEPA

Discussions are crucial for areas such as semiconductors, electric vehicle batteries, and robotics — fields that are becoming increasingly significant in the worldwide economic landscape.

It is anticipated that these initiatives will boost economic integration and collaboration between the two countries.

India and Chile have maintained warm and friendly relations for several years under a framework.

Agreement

The Agreement on Economic Cooperation was signed in January 2005, succeeded by the signing of a Preferential Trade Agreement (PTA) in March 2006. This PTA underwent expansion in September 2016 and became effective in May 2017. Between 2019 and 2021, both parties conducted three negotiation rounds aimed at broadening the scope of the PTA even more.

To elevate their economic partnership further, both nations opted to progress toward a

CEPA

This choice was made following the suggestions put forth by the Joint Study Group (JSG), which was established within the framework of 2005.

Agreement

The JSG report was completed and endorsed on April 30, 2024.

The momentum for

CEPA

received additional backing during Chilean President Gabriel Boric Font’s state visit to India from April 1 to 5, 2025, invited by Prime Minister Narendra Modi.

Throughout the visit, the leaders from each side acknowledged the crucial part played by trade and commerce in strengthening their mutual partnership.

They likewise applauded the introduction of

CEPA

discussed negotiations and highlighted the significance of establishing a well-balanced, robust, and reciprocal accord that could pave the way for fresh avenues of expansion and collaboration. (ANI)