Chile boosts its trade with India through an ambitious agricultural and cultural plan.

Chile's strategy to strengthen trade ties with India is reflected in an ambitious plan aimed at opening the doors to one of the largest and fastest-growing markets in the world. President Gabriel Boric has entrusted this task to his foreign minister, Alberto van Klaveren, and the Minister of Agriculture, Esteban Valenzuela, who will lead a delegation at the 'Chile Summit India 2024' event, scheduled for late August next year in the cities of New Delhi and Mumbai. This meeting not only represents an opportunity to explore new commercial horizons but also seeks to eliminate tariff barriers that have limited Chilean products' access to the Indian market. During preparations for this trip, Valenzuela emphasized the need to "unblock" the high tariffs that India imposes on Chilean agricultural products, such as fruits, wines, and meats. The minister is optimistic that this visit will mark a "turning point" in the trade relationship between the two countries. Since 2007, Chile has had a Partial Scope Agreement with India, which was expanded in 2017, but challenges persist in a context where negotiations for a free trade agreement are still in their early stages. In this regard, Valenzuela acknowledges that pushing for a free trade agreement is vital, although its management depends on the Ministry of Foreign Affairs. The goal is clear: to increase exports of Chilean products, including pork and nuts. The Chilean strategy is based on its experience as a country that has signed numerous trade agreements, positioning it favorably to expand its reach in the global economy. The interest in India is not coincidental, as over the past two decades, Chilean exports to this country have grown by 511.5%. However, most of these exports have been focused on copper and lithium, prompting Valenzuela to emphasize the need to diversify markets, including India and Arab countries in the trade equation. In 2023, food represented 30% of exports, indicating significant potential to increase this percentage. The Chilean delegation will not only focus on promoting agricultural products but will also seek to attract investments in the film industry. This is because India, with its growing film production, is projected to see Chile as an attractive filming destination. To this end, the group will include representatives from the Chilean Association of Film and Television Producers, showcasing a multidimensional approach to this trade mission. As the fourth largest fruit exporter in the world, Chile has high expectations of increasing the presence of its products in the Indian market. Valenzuela has committed to doubling fruit exports within three years, but it is essential to reduce transportation times from 50 to 35 days. With improvements in logistics, the South American country has begun to connect more rapidly with Asian markets, which is crucial in a context where the Panama Canal is facing transit issues. The nut sector has shown remarkable growth in India, with a 700% increase in walnut exports between 2019 and 2023. This positive trend has led ChileNut to consolidate its presence in the Indian market, which has shown a growing interest in these products. Iván Correa, general manager of the organization, highlights that the Indian market offers a much more dynamic growth potential compared to other markets, such as Europe, where growth has stagnated. In addition to nuts, Chilean wines are also in the spotlight. Angélica Valenzuela, commercial director of the Wines of Chile association, underscores the importance of focusing on consumption among young people and the rising middle class in India. The strategy includes not only promoting Chilean wines but also creating commercial ties that benefit both countries. The idea is to highlight the sustainable nature of Chilean production, which could attract an increasingly environmentally conscious Indian consumer. In summary, Chile's mission in India represents an ambitious pursuit to expand its agricultural trade and diversify its exports. Despite the challenges posed by the tariff environment, the Chilean delegation arrives with concrete proposals and a clear vision to create stronger ties with one of the world's highest potential markets. With an eye on the future, efforts to win over the Indian consumer with Chilean flavors could lead to a promising chapter for the Chilean economy.