&w=3840&q=100)
Peru pitches critical minerals to Indian firms, FTA likely by early 2026
A top diplomat from the Latin American country said on Monday in Chennai that both India and Peru are expected to finalise a comprehensive Free Trade Agreement (FTA) by the end of this year or early 2026. 'Of special relevance to today's world—and to India's strategic ambitions in clean energy and advanced technologies—are Peru's deposits of rare earth minerals, including neodymium, praseodymium, dysprosium, and terbium. Peru welcomes Indian investment, joint exploration initiatives, and technological collaboration in this vital sector,' said Javier Manuel Paulinich Velarde, Ambassador of Peru to India.
Addressing the first official Peruvian National Day celebration in Chennai, he added that these critical minerals are essential for the production of electric vehicles, wind turbines, electronics, and next-generation defence systems. 'By the end of this year or early 2026, we expect to conclude the Free Trade Agreement negotiations, unlocking mutual opportunities in trade, investment, agribusiness, pharmaceuticals, and technology,' Velarde said.
India is now Peru's third-largest trading partner in the Latin American and Caribbean region. The India–Peru economic partnership has seen significant momentum in recent years, with bilateral trade growing from $2.34 billion in 2019–20 to $4.03 billion in 2023–24.
'As Peru emerges as a key source of critical minerals including rare-earth magnets, copper, and lithium, we see great potential for Tamil Nadu-based manufacturing industries to forge mutually beneficial partnerships,' said R. Dinesh, Honorary Consul of Peru in Chennai and Chairman of TVS Supply Chain Solutions. 'I strongly believe that the deep, shared interests between India and Peru can foster meaningful collaborations among entrepreneurs, investors, and institutions—driving outcomes that are both commercially rewarding and culturally enriching,' Dinesh said.
Velarde also invited Indian companies to explore investment opportunities in the port and logistics sector. 'Peru's strategic location on the South Pacific, supported by a modern and expanding maritime infrastructure, positions us as a logistics hub and gateway to Asia—including India. This translates into lower shipping costs, shorter delivery times, and greater opportunities for regional integration. We are also pleased to highlight that new investment opportunities remain open in our port and logistics sectors,' he added.
The ongoing negotiations for a comprehensive Free Trade Agreement (FTA) between the two countries are expected to deepen market access and address both tariff and non-tariff barriers. Once finalised, the FTA is expected to open up new opportunities in goods, services, and investments, particularly in sectors such as healthcare, renewable energy, digital technology, and clean mobility. 'Tamil Nadu is uniquely positioned to engage with Peru—a country rich in resources, business potential, and culture. Key sectors such as mining, automobiles, IT, agriculture, and horticulture present significant opportunities for collaboration,' he added.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
42 minutes ago
- Time of India
HC denies pre-arrest bail to man accused of replacing Tricolour on mosque with saffron flag
Chandigarh: Punjab and Haryana high court on Saturday refused anticipatory bail to a man accused of removing the national flag from a mosque in Gurgaon and replacing it with a saffron flag. "The gravity of the offence and its potential impact on public order and communal peace cannot be overlooked. No extraordinary or exceptional circumstance has been brought on record by the petitioner that would warrant the grant of pre-arrest bail, particularly in light of the serious communal and constitutional implications of the alleged conduct," HC observed in its order. "The fact that a deeper and proper probe is required… This court is of the considered opinion that custodial interrogation of the petitioner is a must and no ground for granting anticipatory bail is made out," said Justice Manisha Batra in the order. The bench noted that the allegations against the petitioner were not vague or general in nature but "specific and substantiated by initial investigation", including purported conversations between the petitioner and co-accused when the alleged crime was being committed. Justice Batra dismissed the plea filed by Vikas Tomar of Gurgaon, who was booked at Bilaspur police station in Gurgaon on July 7 for hurting religious sentiments. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Is this legal? Access all TV channels without a subscription! Techno Mag Learn More Undo He faces charges under the Prevention of Insult to National Honours Act, 1971, as well. It's alleged that on July 7, Tomar and some other persons removed the national flag from atop a mosque in Gurgaon's Uton village and erected a saffron flag. Some of the accused even threw away the national flag, says the complaint. The complainant provided a video recording of the incident to police, alleging the co-accused had removed the Indian flag in connivance with Tomar. However, Tomar's counsel, while seeking anticipatory bail, argued that he was falsely implicated and had no role to play in the incident. Opposing the plea, the counsel for the state and the complainant submitted that the accused intended to stir communal tension and that he is shown to have had a conversation with the co-accused when they were involved in removing the national flag and hoisting the saffron flag. After hearing all the parties, HC dismissed the plea for anticipatory bail, keeping in view the nature of allegations and the fact that there were no exceptional circumstances for pre-arrest bail. Get the latest lifestyle updates on Times of India, along with Friendship Day wishes , messages and quotes !
Time of India
an hour ago
- Time of India
3 Indian warships in Philippines, 1 in war games with Singapore
. NEW DELHI: As part of the Navy's ongoing operational deployment to Southeast Asia with an eye firmly on China's aggressive behaviour in the Indo-Pacific, three Indian warships have reached the Philippines while another is exercising with the Singapore Navy. The deployments of stealth frigate INS Satpura for the bilateral "Simbex" exercise with the Singapore Navy as well as guided-missile destroyer INS Delhi, anti-submarine warfare corvette INS Kiltan and fleet tanker INS Shakti to Manila "is a testimony to the Indian Navy's commitment to strengthen partnerships in the Indo-Pacific", according to officers. Leading the three warships in Manila, Eastern Fleet commander Rear Admiral Susheel Menon said India and the Philippines shared the commitment towards maintaining stability and enhancing maritime security in the region, emphasizing the importance of such deployments in promoting understanding, trust and cooperation among friendly maritime forces. The warships will undertake a bilateral naval exercise with the Philippines, which will focus on joint manoeuvres and communication protocols to improve preparedness, build mutual trust and strengthen operational synergy in the maritime domain. INS Satpura, in turn, is participating in the 32nd edition of the Simbex exercise, marking yet another chapter in the strong and enduring maritime partnership between the Indian Navy and the Republic of Singapore Navy (RSN). "The exercise involves execution of a comprehensive array of advanced naval operations. These include air defence exercises, cross-deck helicopter operations, precision targeting with surface and aerial platforms, complex manoeuvring drills and VBSS (visit, board, search, and seizure) operations," an officer said. After the $375 million contract to supply three anti-ship coastal batteries of BrahMos supersonic cruise missiles to the Philippines in Jan 2022, India has also stepped up discussions on arms exports to other Asean countries like Indonesia and Vietnam. Apart from Brahmos missiles, which have been developed jointly with Russia, India also plans to sell the indigenous Akash air defence missile systems, which can intercept hostile aircraft, helicopters, drones and subsonic cruise missiles at a range of 25 km, to countries like Philippines, Indonesia and Vietnam.
The Hindu
an hour ago
- The Hindu
How will Trump's tariffs impact India?
The story so far: On July 30, U.S. President Donald Trump announced 25% tariffs on imports from India 'plus a penalty'. While this puts to rest months of speculation over what the tariffs would be on Indian imports into the U.S., it opens up fresh uncertainties with respect to a potential bilateral trade agreement between India and the U.S. What did Mr. Trump announce? Taking to social media, Mr. Trump cited India's tariff and non-tariff measures on trade, and its dealing with Russia on energy and military equipment, as the main reasons behind imposing the 25% tariffs and the penalty. There is no clarity yet on what the penalty will look like, but Mr. Trump has in the past threatened a 10% additional tariff on BRICS countries. If this comes to pass, then effective tariffs on Indian imports would be 35%. There is also a legislation in the U.S. in the process of being passed that could see an additional 500% tariff on India, China, and Brazil for their dealings with Russia. What does it mean for India? Tariffs are paid by importers. Therefore, tariffs on Indian imports would be paid by those in the U.S. that are importing Indian goods. That is, Indian goods will become more expensive for them. Therein lies the true problem for India. On a macro level, the tariffs and the impact they will have on Indian exports are expected to only lower India's GDP by 0.2%, according to research by the Bank of Baroda. So, if India's growth forecast had been 6.6%, then these tariffs — if they are imposed — could lower growth to 6.4%. However, the issue arises in individual sectors. According to the Bank of Baroda, sectors such as garments, precious stones, auto parts, leather products, and electronics (although their inclusion is uncertain) could face the pinch and would have to rework their strategies. 'The issue really is that some of the competing nations like Vietnam (20%), Korea (15%) and Indonesia (19%) have lower tariffs compared with India,' the Bank of Baroda added in its research note. How did things come to such a pass? While most trade deals are negotiated over years, Prime Minister Narendra Modi and Mr. Trump in February 2025 announced that they would conclude the first tranche of a trade deal by fall. To put this in perspective, the recently-signed Comprehensive Economic and Trade Agreement between India and the U.K. took about three years to negotiate. What made the announcement by Mr. Modi and Mr. Trump notable was that it came before the latter's big moves on reciprocal tariffs, which is what pushed other countries to start negotiating with the U.S. The announcement was thus a strong and positive commitment towards strengthening ties between the two countries. But then, on April 2, Mr. Trump announced his Liberation Day reciprocal tariffs. These included a 10% baseline tariff for all countries, and additional tariffs on a country-by-country case. For India, this total was 26%. However, just a week later, Mr. Trump announced a 90-day pause on these tariffs so that bilateral deals could be struck so as to reduce the U.S.'s trade deficit with most of its trading partners. The 90-day pause was to end in July, but Mr. Trump extended it to August 1. What are the points of friction? It's hard to pinpoint any single recent development that has soured relations, but there have been several points of friction between the two countries in the past few months. The matter of India's tariffs and non-tariff barriers has been something Mr. Trump has been highlighting since his first term as President. It was no surprise that he would take up the issue in his second term. Soured relations: The Hindu editorial on Trump's 25% tariff, 'penalty' Mr. Trump has brought up India's engagement with Russia, too, saying countries like India are partly financing Russia's war with Ukraine. India, however, has reiterated that it will secure its national and energy security, and if that means buying cheap Russian oil, then that is what it would do. Russia currently accounts for about 35-40% of India's oil imports, making it a significant partner. In addition, India has remained adamant about keeping core parts of its agriculture and dairy sectors out of trade deals, including with the U.S. This has upset negotiators on the U.S. side, but it is a 'red line' India will not cross. Opening up these sectors would expose India's relatively low-productivity farmers to global competition, which will likely have devastating impacts on their livelihoods. Then, there is the fact that Mr. Trump has repeatedly stated that it was him, and his trade talks, that encouraged India and Pakistan to agree to a ceasefire following the launch of Operation Sindoor by India. The fact that the Indian government has refuted it has only further angered Mr. Trump. Mr. Trump's claims have irked the Indian establishment as well, since it has provided the Opposition a means to attack the government. India has informed the World Trade Organization that it reserves the right to impose additional tariffs on imports from the U.S. to retaliate against its higher tariffs on items like steel, aluminium, and automobiles. Taking these things together, Mr. Trump's tariff announcement comes as a confirmation that at least one, if not all of these factors, worked toward souring relations. Will India continue paying these tariffs? Although there has been a lot of talk about a 'mini-deal' between India and the U.S. to walk back the reciprocal tariffs, Indian officials have been cagey about the date for such a deal. The tariff announcement by Mr. Trump confirms that such a deal is not coming. However, the two sides have been remarkably consistent about their commitment of having some sort of trade deal finalised by the fall 2025 deadline. So far, negotiators from the two sides have met in New Delhi and Washington five times, including the first meeting in March where the Terms of Reference for the negotiations were finalised. The team from the U.S. will visit India in late August to take forward the talks. Things have, however, become trickier for Indian negotiators because Mr. Trump has now directly linked India's dealings with Russia to India's trade relationship with the U.S. The tariffs will come into effect soon. According to an Executive Order dated July 31, Mr. Trump said that his duties on India and other countries would come into effect '7 days after the date of this order'. What about deals with other countries? Over the last month, Mr. Trump has concluded deals with the U.K., Indonesia, the Philippines, Japan, the EU, and South Korea. The deal with the U.K. does not specify a general tariff level, but it will see British car exports to the U.S. attract a 10% tariff, down from the earlier 27.5% and a removal of tariffs on aerospace exports to the U.S. Japan negotiated lower tariffs of 15% for its exports to the U.S., the same as the EU.
