India, Chile review progress of CEPA negotiations for early conclusion
With an aim of boosting bilateral ties, India and Chile have reviewed the progress of negotiations for the proposed free trade agreement and discussed modalities for its early conclusion. While the discussions were focused on early conclusion of Comprehensive Economic Partnership Agreement (CEPA), they also covered a broad range of issues relating to trade facilitation, market access, investment promotion and strengthening institutional economic engagement between the two countries.
Besides, they deliberated upon ways to enhance collaboration in sectors such as critical minerals, renewable energy, agri-business, infrastructure, pharmaceuticals, digital services, logistics and advanced manufacturing. Both countries are negotiating to widen the scope of the preferential trade agreement (PTA) executed in 2006. The CEPA aims to build upon the existing PTA and seeks to encompass a broader range of sectors, including digital services, investment promotion and cooperation, MSMEs (micro, small, and medium enterprises), and critical minerals.
Further, both sides emphasized the strong complementarities between the Indian and Chilean economies and underscored the importance of resilient supply chains, sustainable development and greater private-sector participation in advancing bilateral economic cooperation. In 2024-25, Indian exports to Chile declined 2.46% to just $1.15 billion, while imports, grew 72% to $2.60 billion.
