‘India Has Exceptional Market’: Brazil’s Lula Calls For ‘Strategic Alliance’ To Boost
‘India Has Exceptional Market’: Brazil’s Lula Calls For ‘Strategic Alliance’ To Boost Both Economies
M.U.H
20/10/202519
Brazilian President Luiz Inácio Lula da Silva has announced plans to forge a “strategic alliance" with India, deepening cooperation across political, economic, and technological spheres. The move, announced through a video message on X (formerly Twitter) on Saturday, in a renewed push within the BRICS bloc to build stronger South-South partnerships amid shifting global trade dynamics.
Lula’s statement follows the return of Vice President Geraldo Alckmin from a high-level visit to India, during which he laid the groundwork for Lula’s own state visit early next year. Calling India “an exceptional market", the Brazilian leader said the two nations could form a “fantastic alliance" covering political, space, entrepreneurial, and economic domains.
“The visit of Vice President Geraldo Alckmin to India is very important because India has an exceptional market. We can have a fantastic alliance in political, space, entrepreneurial, and economic," Lula said, adding that both sides would work together to “develop the Brazilian and Indian economies."
Alckmin’s trip focused on strengthening business relations, with several Brazilian firms keen to enter India’s rapidly expanding market. Among the major announcements was the opening of an office of Embraer, Brazil’s leading aerospace manufacturer, in India, signalling a growing technological collaboration.
Lula also confirmed the introduction of electronic visas to facilitate business travel and the establishment of new bilateral partnerships. “Geraldo Alckmin returned from India with lots of updates: Embraer opening an office there, e-visas to facilitate business, and new partnerships," he said.
Responding to questions about whether India and Brazil are positioning themselves as alternative markets amid the United States’ tariff hikes, Alckmin clarified that cooperation between the two emerging economies would be complementary rather than competitive.
“We are not going to compete on product; we are going to have economic complementarity," he stated, highlighting that both countries share democratic values, continental size, and a commitment to multilateralism. He noted opportunities for collaboration in technology, industry, mining, and agriculture sectors where both nations have significant strengths.
BRICS amid Trump tariff
The announcement comes at a time when BRICS nations – Brazil, Russia, India, China, and South Africa – are seeking to expand intra-bloc trade and resist Western protectionism. With the United States under President Donald Trump having imposed steep tariffs of up to 50 per cent on Indian and Brazilian exports, both nations have intensified efforts to strengthen trade within the Global South.
Lula’s proposal for a strategic alliance aligns with BRICS’ broader agenda of promoting multipolarity and reducing dependency on Western markets. India’s rising economic influence, with a growth rate above 7 per cent, and Brazil’s robust agricultural output, up 16 per cent this year, create natural complementarities within the group.
Bilateral trade
During Prime Minister Narendra Modi’s state visit to Brazil in July, both leaders set an ambitious goal to raise bilateral trade to USD 20 billion within five years. In the 2024–25 financial year, India-Brazil merchandise trade stood at USD 12.19 billion, making Brazil India’s largest trading partner in Latin America and the Caribbean.
Meanwhile, Lula prepares for his India visit in early 2026.
