Brazil and India to increase bilateral trade by double digits by 2024

The latest data on trade between Brazil and India in the first four months of the year show that the two countries are moving towards meeting a goal launched in January 2020 by the Consul General of India in São Paulo, Amit Mishra. During President Jair Bolsonaro’s visit to New Delhi, Mishra stated that the Indian government aims to double the number of trade exchanges with Brazil over the next five years. Besides strengthening partnerships in bioenergy, this will ultimately attract more Brazilian investments to his country.

Mishra stated that “trade valued at of US$ 8.2 billion (according to data from the Indian government and US$ 7.052 billion according to the Foreign Trade Secretariat of the Brazilian Ministry of Economy) does not do justice to trade between the fifth and ninth (at that time) economies in the world”.

SECEX data show that a significant increase has already been registered in the trade flow between the two countries in the first four months of the year. Brazilian exports during this period totaled US$ 1.276 billion and showed a consistent increase of 23.6% compared to the first four-month period of 2020.

Indian sales to Brazil, on the other hand, increased even more, to the order of 25.9% and reached the mark of US$ 1.868 billion. During the period, the bilateral trade balance provided India with a surplus of US$ 592 million, and the trade flow (export + import) totaled US$ 3.146 billion.

See the chart below for the history of cargo handling between Brazil and India from 2018:

Cargo handling between Brazil and India | Jan 2018 to Mar 2021 | TEU

Graphic: DataLiner (click here to request a demo)

If this bilateral trade growth rate is maintained, the Brazilian-Indian commercial exchange may close 2021 with a turnover of more than US$ 9 billion, well above the total registered in the last six years and just under the record set 2014, when the flow of business between the two countries totaled US$ 11.428 billion.

In addition to increasing the volume of exports to India, Brazilian government officials linked to foreign trade advocate greater diversification of the export basket directed to the Asian country, which is mostly concentrated on products with lower added value.

Source: Comex do Brasil

To read the full original article, access the link below:

https://www.comexdobrasil.com/brasil-e-india-ampliam-comercio-e-avancam-para-dobrar-numeros-do-intercambio-bilateral-ate-2024/

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