The fifth session of the India-Mexico Bilateral High-Level Group (BHLG) on Trade, Investment and Cooperation recently took place digitally. This builds on the fourth meeting held in Mexico City in July 2016 at the Commerce Secretary-level. Furthermore, August 1, 2020, marked a significant milestone as India and Mexico celebrated 70 years of diplomatic relations.
Discussion Points and Outcomes
These bilateral talks encompassed several ongoing and pending issues, from Audio-visual Co-production, Bilateral Investment Treaty, market access for agricultural products to a cooperation framework on Sanitary and Phytosanitary (SPS) and Technical Barriers to Trade (TBT) measures. In addition, cooperation in Intellectual Property Rights, promoting tourism, and fostering people-to-people contact were also discussed.
An agreement was reached to expand and diversify the bilateral trade relationship, aiming to bolster cooperation in fields like pharmaceuticals, healthcare, food processing, fisheries, medical equipment, agro-products, and the aerospace industry. Two Memorandum of Understandings (MoUs) were signed with the objective of strengthening cooperation in Electronics, Computer Software and Telecommunications, Information Technologies, Foreign Trade, Investment, and Technology.
The Historical Connection between India and Mexico
Both being colonies in their past, India and Mexico share European connections from the colonial era. Importantly, Mexico was the first Latin American nation to recognize India post-independence (1950). Mexican wheat varieties significantly contributed to India’s Green Revolution in the 1960s.
During the Cold War, both nations were UN members, actively advocating for the interests of developing countries (e.g., Uruguay Round of Trade Negotiations under the World Trade Organisation). Both are G-20 members today.
Political, Bilateral, and Economy Cooperation
In 2007, a ‘Privileged Partnership’ was established between the two nations and by 2015, they agreed to work towards achieving a ‘Strategic Partnership’. Various bilateral agreements and MoUs have been signed over time concerning Investment Promotion and Protection, Extradition, Space Cooperation, Customs Matters, etc. India grants 20 scholarships to Mexico under the Indian Technical and Economic Cooperation (ITEC) programme.
Mexico is currently India’s largest trading partner in Latin America and vice versa, India is Mexico’s ninth-most important global trading partner. A considerable increase has been noted in trade, growing from around USD 5 billion in 2015-16 to USD 9.4 billion in 2018-19.
Security and Cultural Bonding
Both countries share concerns on escalating traditional and non-traditional security challenges, with an emphasis on global terrorism. The Gurudev Tagore Indian Cultural Centre functioning in Mexico since October 2010 is actively promoting Yoga, classical dances, music etc. An agreement on cultural cooperation has been active since 1975.
The Indian community in Mexico is estimated to be more than 7,000, comprised mostly of software engineers, academics, professors, and private businessmen. Indians holding a valid visa for USA, UK, Canada, Schengen area or Japan along with holders of permanent residence in these countries/ Pacific Alliance members do not require a visa for short tourism or business visits to Mexico.
The Differences and the Way Forward
Despite a strong bond, differences exist between Mexico and India over nuclear non-proliferation. However, during the Indian PM’s 2016 visit, Mexico supported India’s bid to join the Nuclear Suppliers Group (NSG). Another discord is over United Nations Security Council (UNSC) reforms, with Mexico opposing the expansion of permanent membership unlike India and other Group of Four members.
Given the striking similarities in geo-climatic conditions, biodiversity, cultural and family values, there is a potential for strong ties between India and Mexico. Both countries are non-permanent members of the Security Council for the period 2021-2022 providing an ideal opportunity to work together on areas of mutual interest.
