This article covers trade and investment between India and Brazil: the value and composition of bilateral trade, investment in each direction, energy investment and biofuels, the treaties that govern investment and taxation, and the mechanism that monitors trade. It is based on the MEA bilateral brief of July 2026, and figures are those given in the brief.

Trade in 2025 and 2026

The brief describes India and Brazil as maintaining a strong and dynamic trade relationship. According to the MEA brief of July 2026, bilateral trade grew by over 25% in 2025 to reach USD 15.21 billion, compared with USD 12.20 billion in 2024. Indian exports amounted to USD 8.35 billion and imports from Brazil to USD 6.85 billion.

The brief states that the upward trend continued in the first six months of 2026, when trade reached USD 8.774 billion, a 36.95% increase over the corresponding period of 2025. This comprised exports of 3.579 billion and imports of 5.195 billion.

What is traded

Major Indian exports to Brazil include processed petroleum products (diesel), agro-chemicals (insecticides and fungicides), chemicals, pharmaceuticals, engineering products, textured filament yarn and unwrought aluminium.

Brazilian exports to India include crude oil, soybean oil, gold (non-monetary), raw sugar, cotton, gum, wood and turpentine oils, chemicals (carboxylic acids), and iron ore and concentrates.

Indian investment in Brazil

Total Indian investments in Brazil are estimated at more than USD 15 billion. The brief lists Indian companies present in several sectors:

  • oil and gas: BPRL and OVL
  • automotive: Bajaj, Tata Motors (along with the newly acquired Italian company Iveco), Mahindra Tractors, Royal Enfield, Hero Motors and TVS Motors
  • information technology: TCS, Infosys, HCL and Wipro
  • pharmaceuticals: Glenmark, ZydusCadila, Sun Pharma and Dr. Reddy's Laboratories
  • aluminium: Novelis of the Aditya Birla Group

Energy sector investment

The brief states that Brazil is India's largest upstream investment destination in the Americas and the 3rd largest investment destination globally. Indian public sector companies OVL and BPRL have invested USD 3.5 billion in Brazil's upstream sector.

They hold participating interests with Petrobras, focusing on developing BM-SEAL-11 and BM-SEAL-4. A Joint Working Group (JWG) was constituted under the MOU on Oil & Gas signed on 25 January 2020.

Biofuels

The brief describes Brazil as an important partner in India's development of biofuels. The two countries signed an MOU on Bioenergy Cooperation in January 2020, and the first meeting of the JWG on Bioenergy Cooperation was held virtually on 6 August 2021.

Brazil became a co-founder member of the Global Biofuel Alliance (GBA), launched in September 2023 during the G20 Summit in New Delhi. The brief notes that India's "National Biofuel Policy" and Brazil's "Renova Bio" programme share the objective of enhancing biofuel blending.

Brazilian investment in India

Brazilian investments in India are about USD 1 billion. Companies present include Vale (mining), Stefanini (IT), WEG (heavy electrical motors and generators), Compsis (toll road software systems), Dedini (ethanol production), Farmas Kunz (footwear), Perto (fabrication of ATMs), Fanem (hospital instrumentation) and Embraer Aerospace.

Investment and tax treaties

Brazil ratified the Investment Cooperation and Facilitation Treaty (ICFT), signed on 25 January 2020, and the Protocol amending the Convention for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with respect to Taxes on Income (DTAA), signed on 24 August 2022. The brief records that these ratifications, in October 2025, led to the entry into force of both instruments.

Trade Monitoring Mechanism

The 7th meeting of the Trade Monitoring Mechanism (TMM) was held on 7 October 2025 in New Delhi. It was co-chaired by India's Commerce Secretary and Brazil's Secretary of Foreign Trade.

About 300 business leaders accompanied President Lula on his State Visit of February 2026, as noted in the relations article. Several of the agreements signed during that visit concern economic matters, including those on rare earths and critical minerals, mining for the steel supply chain, micro, small and medium enterprises, and electronic certificates of origin. The full list appears in the relations article.