India, Chile FTA talks will be closed soon; to open up critical minerals sector: Piyush Goyal

New Delhi: The negotiations between India and Chile for a free trade agreement (FTA) will be concluded soon, and the pact will provide greater access to critical minerals for domestic businesses, Commerce and Industry Minister Piyush Goyal said on Friday.

The South American nation has huge reserves of key critical minerals such as lithium, copper, Rhenium, Molybdenum, and cobalt. These are key inputs for electronics, auto, and solar sectors.

"We are engaged in active dialogue with many developed nations (for free trade agreements)...We will soon close the FTA with Chile. It will open up critical minerals for us," Goyal said at an event of the Institute of Chartered Accountants of India in Greater Noida.

India and Chile implemented a preferential trade agreement (PTA) in 2006 and are now negotiating to widen its scope for a comprehensive economic partnership agreement.

CEPA aims to build upon the existing PTA between the two nations and seeks to encompass a broader range of sectors, including digital services, investment promotion and cooperation, MSMEs (micro, small, and medium enterprises), and critical minerals.

The bilateral trade between India and Chile is modest. In 2024-25, India's exports to Chile were down 2.46 per cent to just USD 1.15 billion. Imports, however, grew 72 per cent to USD 2.60 billion.

The minister also said that in the last four years, India has finalised trade pacts with eight developed nations and blocs, including Mauritius, Australia, the UAE, New Zealand, Oman, the EFTA bloc, the UK and the European Union (EU).

India, he said, has covered 32 major European countries through free trade agreements. EFTA (European Free Trade Association) has four members: Iceland, Liechtenstein, Norway, and Switzerland, while the EU have 27 and the UK.

These nations, he said, provide huge opportunities for talented Indian youth, and they are facing workforce shortages in sectors where "we are very competitive," Goyal said.

He criticised the UPA-era FTAs, saying they have led to an increase in imports into India rather than exports.

There are major trade imbalances with those nations, he said, adding "they were not bold enough to offer opportunities to Indian businesses".

Further, he said that global uncertainties are increasing and, in such a scenario, only bold countries will succeed in the future.

"India stands as an oasis in a desert," Goyal said.