India and MERCOSUR open talks to widen their preferential trade agreement
The two sides are finalising terms of reference for negotiations that could broaden the existing agreement's product and policy coverage.
India and MERCOSUR have announced the launch of negotiations to expand their existing preferential trade agreement. India's commerce minister and Uruguay's foreign minister, acting for MERCOSUR's pro tempore presidency, said the sides intend to cover additional areas of mutual interest.
The parties are finalising terms of reference that will define the scope and structure of the talks. No expanded agreement or tariff schedule has yet been concluded.
Why it matters
A broader agreement could change tariff access and commercial opportunities between India and the South American bloc, affecting exporters, importers and supply-chain planning.
SCULTRA point of view
The launch is a negotiating signal. Business impact should be assessed only after the terms of reference, product coverage, tariff schedules, rules of origin and implementation timetable become public.
Limitations
No expansion has been agreed. The release gives no negotiating text, sector list, tariff commitment, market-access estimate, deadline or ratification path, and the terms of reference remain under finalisation.
Source: Press Information Bureau / Ministry of Commerce and Industry, 14 September 2026, 5:57 PM IST.