New Delhi, September 14: India and MERCOSUR have launched negotiations to expand their existing Preferential Trade Agreement (PTA), opening the way for the two sides to broaden the scope of a trade arrangement that currently covers a limited number of tariff lines.
Union Commerce and Industry Minister Piyush Goyal and Uruguay’s Foreign Affairs Minister Mario Lubetkin announced the launch of negotiations, with Uruguay exercising the Pro Tempore Presidency of MERCOSUR.
India and MERCOSUR have agreed to expand the existing agreement to cover areas of mutual interest, with the objective of deepening economic relations and creating greater opportunities for their respective private sectors.
The two sides are now in the process of finalising the Terms of Reference, which will determine the scope and structure of negotiations for the proposed expanded agreement.
The India-MERCOSUR PTA was signed on 25 January 2004 and came into force on 1 June 2009. Under the existing agreement, India offers a Margin of Preference on 450 tariff lines, while MERCOSUR provides preferences on 452 tariff lines to India.
The latest negotiations follow earlier efforts by the two sides to widen the agreement. MERCOSUR leaders said earlier in 2026 that work on deepening the India-MERCOSUR PTA was aimed at expanding tariff coverage, increasing reciprocal trade and creating new market-access opportunities.
The September 14 announcement does not specify which additional products, tariff lines or other areas will be included in the expanded agreement, with those parameters to be defined through the Terms of Reference.
