Brazil’s top industry federation eyes trade opportunities driven by India

India, the fifth largest economy in the world, was discussed by Brazil’s top industry federation Fiesp at its Foreign Trade Council (Coscex) meeting on July 3. At the start of the session, Coscex president Jackson Schneider highlighted that “India is the new China” for Brazil.

The meeting also featured Ambassador Kenneth Félix Haczynski da Nóbrega, who spoke about the role of the Asian country in the international arena and its implications for Brazil, the relations between the two countries, and how he plans to deal with initiatives in the trade area. India, along with Brazil, is part of the BRICS (Brazil, Russia, India, China, and South Africa), an economic bloc composed of emerging countries.

With more than 1.4 billion people, half under 30 years old, India has been experiencing rapid growth for over a decade, a situation expected to last until 2030. India’s Gross Domestic Product (GDP) surpasses US$ 3 trillion (2022), and the projected growth for this year is close to 6%.

Nóbrega said that India navigates this scenario with great pragmatism. It is focused on taking its place as a large economy that seeks security and self-reliance in various sectors, such as technology, military, and food, and also on building diverse international partnerships.

The strong Indian growth is an opportunity for those who want to operate in the country, as major infrastructure projects are underway. According to the ambassador, it is necessary to support Brazilian companies that want to enter this market so that they can identify and overcome any “bottlenecks” and understand the rules of the game to establish partnerships. He explained that there are different regulatory standards, including health ones, that need to be understood in India.

Business opportunities and growing synergies

The benefit of prioritizing this bilateral relationship is that it is a long-standing one, with many synergies to face significant global challenges. The fact that Brazil is becoming an increasingly reliable supplier in terms of energy and food security is a positive Brazilian difference.

See below the evolution of the Brazilian container trade with India in terms of exports and imports from Jan 2019 to May 2023. The data is from DataLiner.

Container trade with India | Jan 2019 – May 2023 | TEU

Source: DataLiner (click here to request a demo)

To make this trade and investment partnership a reality, the strategy is to expand trade promotion activities with regular summit meetings and Brazil-India business meetings, intensify bilateral chambers of commerce efforts, and promote webinars and roadshows.

Nóbrega pointed out opportunities for Brazilian industrial sectors, such as defense and civil aviation products, agribusiness, chemicals, parts for transport equipment, construction, the automotive sector, and biofuels, especially ethanol.

Source: Comex do Brasil

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