India, Brazil to sign Strategic Action Plan

3 min read

News:Brazilian President will be visiting India as the Chief Guest of the Republic Day celebrations from January 24-27,2020.

Facts:

About the visit:

India and Brazil are expected to sign 20 various agreements across defence, energy, agriculture, healthcare and minerals.Among them,the major ones are:

  • Strategic Action Plan:India and Brazil will upgrade their strategic partnership with a strategic action plan.The Action Plan will serve as an umbrella agreement to increase defence cooperation, technology sharing and a logistics agreement.
  • Bilateral investment treaty:The two countries are also expected to sign a Bilateral Investment Treaty which will be the first revised one that India will sign with any country since 2015.
  • Social Security Agreement(SSA):The two countries will also exchange a Social Security Agreement (SSA) first signed in March 2017.It will allow investments in each other’s pension funds to help business processes and encourage the flow of investment.

Additional information:

India-Brazil Relations:

  • India and Brazil diplomatic bilateral relations were established in 1948.The relations are based on a common global vision, shared democratic values and a commitment to foster economic growth of both countries.
  • They share a close and multifaceted relationship at bilateral level as well as in plurilateral level such as BRICS, BASIC, G-20, G-4, IBSA, International Solar Alliance among others.
  • The Bilateral relations were elevated to a Strategic Partnership level in 2006.
  • In 2018, India was the 11th biggest exporter to Brazil and the tenth biggest importer from the country.The bilateral trade stands at about $8 billion.
  • In 2018,Indian investments in Brazil were around U.S.$ 6 billion and Brazilian investments in India are estimated at U.S.$ 1 billion.
  • Brazil is also among the top ten oil producers in the world. Major reforms are being undertaken in Brazil’s energy sector which will help to increase not only production but also oil exports.