Fresh Delhi – India and Brazil solidified a strategic partnership Saturday with the signing of an agreement to enhance cooperation on critical minerals and rare earth elements, a move aimed at reducing India’s reliance on China for these essential resources. The agreement was signed during a meeting between Indian Prime Minister Narendra Modi and Brazilian President Luiz Inacio Lula da Silva in New Delhi.
The deal focuses on boosting collaboration in the mining and processing of minerals crucial for a range of industries, including electric vehicles, solar panels, smartphones, jet engines, and guided missiles, according to a statement released by the Indian Prime Minister’s office. China currently dominates both the mining and processing of these materials, and has recently tightened export controls, prompting India to seek alternative suppliers.
“This agreement is a major step towards building resilient supply chains,” Modi stated following the meeting. Lula da Silva echoed this sentiment, emphasizing the importance of increased investment and cooperation in renewable energies and critical minerals. “Increasing investments and cooperation in matters of renewable energies and critical minerals is at the core of the pioneering agreement that we have signed today,” Lula said.
Brazil holds the world’s second-largest reserves of critical minerals, positioning it as a key partner for India in diversifying its supply sources. Bilateral trade between the two countries reached over US$15 billion in 2025, and both nations have set a target of increasing trade to US$20 billion by 2030, according to officials familiar with the discussions.
The agreement comes as India actively pursues partnerships with other nations to secure access to critical minerals. Recent engagements include supply chain collaborations with the United States, France, and the European Union, reflecting a broader strategy to mitigate risks associated with concentrated supply chains. Rishabh Jain, an expert with the Delhi-based Council on Energy, Environment and Water think tank, noted that the cooperation with Brazil complements these existing engagements.
Alongside the minerals pact, the two leaders discussed broader trade and investment opportunities. A memorandum of understanding was also signed between BahiaFarma, Biocon, and Bionovis in the pharmaceutical sector, signaling further collaboration between the two countries. India’s Ministry of External Affairs Secretary (East) affirmed Brazil’s importance as a strategic partner and a key member of BRICS, the economic bloc comprising Brazil, Russia, India, China, and South Africa.
President Lula da Silva arrived in New Delhi on February 18th for a global summit and paid tribute to Mahatma Gandhi before meeting with Prime Minister Modi. The two leaders are expected to continue discussions on increasing trade links and strengthening their bilateral relationship in the coming months.
