India and Brazil Sign MOU on Critical Minerals and Rare Earths, Strengthen Strategic Partnership
India and Brazil have signed a significant Memorandum of Understanding (MOU) on critical minerals and rare earths, marking a major step in deepening their strategic partnership. The agreement was finalized following talks between Prime Minister Narendra Modi and Brazilian President Luiz Inacio Lula da Silva in New Delhi.
The deal is aimed at strengthening supply chain resilience and boosting cooperation in key sectors including defence, pharmaceuticals, and emerging technologies.
Critical Minerals Pact to Boost Supply Chain Security
Addressing a joint press conference, Prime Minister Modi described the agreement as a crucial development.
“The agreement reached on critical minerals and rare earths is a major step in building a resilient supply chain. Our cooperation in the defence sector is also steadily growing. This is a great example of mutual trust and strategic alignment. We will continue to strengthen this win-win partnership,” he said.
The partnership comes at a time when global supply chains are under pressure, particularly in the rare earths sector, which is vital for modern industries such as electric vehicles, renewable energy, electronics, aerospace, and defence systems.
Expanding Cooperation Beyond Minerals
Prime Minister Modi also highlighted opportunities in the health and pharmaceutical sectors.
“There is immense potential for cooperation in the health and pharmaceutical sectors. We will work to increase the supply of affordable and quality medicines from India to Brazil,” he added.
The collaboration is expected to enhance trade flows and expand industrial partnerships between the two nations.
20 Years of Brazil-India Strategic Partnership
President Luiz Inacio Lula da Silva recalled hosting Prime Minister Modi in Brasilia last year, describing it as a milestone in bilateral relations.
He emphasized that both countries had restructured their cooperation agenda across five key areas:
- Defence and security
- Food and nutritional security
- Energy transition and climate change
- Digital transformation and emerging technologies
- Industrial partnerships in strategic sectors
“Today in Delhi, in the year when we celebrate 20 years of the establishment of the Brazil-India Strategic Partnership, we are moving into action. We signed several agreements that give concrete shape and quality to our cooperation in these areas,” President Lula said.
Brazil Praises India’s Cutting-Edge Growth
The Brazilian President also praised India’s advancements in cutting-edge sectors such as information technology, artificial intelligence, biotechnology, and space exploration. He noted that these developments create strong opportunities for deeper cooperation across industries.
President Lula is currently in India leading a delegation of ministers and business leaders to participate in the India AI Impact Summit 2026, held at Bharat Mandapam from February 16 to 20.
India’s Push to Reduce Dependence on China
The agreement comes at a strategic time for India, which is working to reduce its dependence on China for rare earth elements and critical minerals. China currently dominates global rare earth production, creating supply vulnerabilities for many nations.
Brazil holds the world’s second-largest reserves of critical minerals, making it a key partner for India’s efforts to diversify sourcing, expand domestic production, and strengthen recycling initiatives.
- Why This Agreement Matters
- Enhances global supply chain resilience
- Reduces overdependence on a single supplier
- Strengthens defence and technology cooperation
- Expands pharmaceutical and industrial trade
- Deepens a 20-year strategic partnership
The India-Brazil critical minerals agreement signals a long-term geopolitical and economic alignment, positioning both nations as stronger players in the evolving global supply landscape.
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