Brazilian President Lula Dials PM Modi; Both Leaders Reaffirm India‑Brazil Strategic Partnership, Eye Global South Power Play

New Delhi: Prime Minister Narendra Modi on Thursday held a crucial phone call with Brazil’s President Luiz Inacio Lula da Silva, amidst the ongoing World Economic Forum (WEF) in Davos. The two leaders took stock of the strong momentum that has built up in the India‑Brazil Strategic Partnership over the past year and signalled an intent to push that momentum into new heights in the months ahead. The conversation between the Indian PM and the Brazilian President is described as a crucial step, essential to reshape the diplomacy of the Global South.

PM Modi shared the update in a post on X on Thursday following the conversation. The social media post by the Prime Minister captured the tone of the exchange between the two leaders, “Glad to speak with President Lula. We reviewed the strong momentum in the India‑Brazil Strategic Partnership, which is poised to scale new heights in the year ahead. Our close cooperation is vital for advancing the shared interests of the Global South. I look forward to welcoming him to India soon.” 

The Brazilian President also took to X, saying, "I spoke today by phone with the Prime Minister of India, Narendra Modi. We discussed the State visit I will make to New Delhi between February 19 and 21, as well as the bilateral agenda. We highlighted the importance of the Brazil–India Business Forum that will take place during my visit, which will also be marked by the inauguration of the APEX Office in New Delhi. We also exchanged views on the global situation, reiterating our commitment to defending peace in Gaza and in the world, multilateralism, and democracy."

The phone call took place at a time when both India and Brazil are feeling the sting of unilateral tariffs from US President Donald Trump, with Washington imposing a 50 percent duty on Brazilian and Indian goods. Against that backdrop, PM Modi and President Lula’s dialogue reads as a strategic counter‑move, seeking to insulate their economies and amplify their collective voice on multilateral platforms. The leaders agreed to accelerate cooperation across trade, energy, technology, defence, health and people‑to‑people ties, while also pledging to coordinate within BRICS, G20 and other forums to defend multilateralism.

Beyond the immediate tariff dispute, the conversation set the stage for a state visit by Brazilian President Lula to New Delhi next month, between February 19 and 21, as it will mark 75 years of diplomatic relations between the two countries. With bilateral trade already at about USD 12 billion and a target of USD 20 billion by 2030, the leaders’ commitment to take the partnership to new heights signals a concerted push to turn economic possibilities into substantial outcomes for both societies.

India-Brazil Diplomacy, Economic, Trade Dimensions

India and Brazil, two of the world’s largest democracies and emerging economies, have long shared a strategic partnership that spans from agriculture to space. Since establishing diplomatic ties in 1948, the relationship has evolved from modest trade to a multifaceted alliance encompassing defence, science and technology, and cultural exchange. The recent phone call builds on a series of high‑level engagements, including PM Modi’s 2025 visit to Brazil for the BRICS Summit and the 2020 Republic Day celebration in New Delhi, where then‑President Jair Bolsonaro was the chief guest.

Both nations are currently grappling with a protectionist move from Trump, who has levied steep tariffs on their exports. Lula’s office noted that Brazil and India are, so far, the two most‑affected countries by these measures, and that the leaders “reaffirmed the importance of defending multilateralism and the need to address the challenges of the current situation” . By aligning their responses, Prime Minister Modi and President Lula aimed to present a united front within BRICS and other multilateral bodies, reinforcing the notion that the Global South can shape its own economic destiny.

Trade between India and Brazil has surged from about USD 3 billion in 2007 to roughly USD 12 billion in 2024, with India becoming Brazil’s fifth‑largest trading partner. The two leaders reiterated a shared goal of reaching USD 20 billion in bilateral trade by 2030, a target that will require deepening supply‑chain links and reducing non‑tariff barriers.

India-Brazil Partnership

Key export items from India include pharmaceuticals, automobiles, chemicals, machinery and IT services, while Brazil ships crude oil, sugar, soy‑oil, gold and pulp to India. To facilitate this flow, both sides are looking to expand the India‑MERCOSUR Preferential Trade Agreement, which could broaden tariff lines beyond the current 450 items to cover automobiles, pharmaceuticals, IT services and agricultural machinery.

Further, a notable development is the introduction of 10‑year visitor visas for citizens of both countries, a move expected to boost business travel, tourism and investment. The visa extension, announced in January 2026, is seen as a catalyst for smoother cross‑border exchanges and could pave the way for long‑discussed direct flights between Sao Paulo and Mumbai, cutting travel time and cost for professionals and tourists alike .

Energy security forms a cornerstone of the partnership, with Brazil’s status as a major crude‑oil exporter and its leadership in bio‑fuel technology complementing India’s ambitious ethanol‑blending programme, which aims for 20 percent ethanol in petrol by 2025‑26. Indian Oil Corporation has already signed an MoU with Brazil’s CNPEM to set up a research centre for bio‑energy in India, and both nations are exploring a joint bio‑fuel research hub and a green‑hydrogen corridor under the International Solar Alliance .

On the technology front, collaboration spans space, digital payments and aerospace. Brazil’s Embraer has opened an office in New Delhi, and its aircraft already serve the Indian Air Force (IAF). Joint satellite data sharing under the BRICS Remote‑Sensing Constellation is helping both countries with agriculture monitoring and disaster response.

Defence ties are also deepening, with a recent memorandum of understanding (MoU) on defence industry cooperation being finalised, with plans for joint development of UAVs, radar systems and maintenance services. Defence Minister Rajnath Singh has described the defence partnership as one of the five pillars of cooperation and a contributor to international peace and security .