India and members of the Global South can learn from each other’s experiences in tackling challenges such as terrorism and organised crime, Prime Minister Narendra Modi said on Monday as he held talks with visiting Paraguayan President Santiago Peña on bolstering cooperation in areas including trade, digital technology and defence.
The Pahalgam terror attack of April 22, which prompted India to target terrorist infrastructure in territories controlled by Pakistan, figured in talks between the two leaders. Modi said India and Paraguay “stand united” in the fight against terror and Peña expressed solidarity with the victims of the terror attack. Both leaders unequivocally condemned all forms of terrorism and violent extremism, officials said.
Peña began a three-day visit to India on Monday, the first by a Paraguayan president since 2012. Besides holding talks with the Indian leadership, Peña is set to meet top business leaders in New Delhi and Mumbai to urge them to invest in diverse sectors in Paraguay.
“India and Paraguay stand united in the fight against terrorism. There is immense possibility of cooperation to fight against shared challenges such as cybercrime, organised crime and drug trafficking,” Modi said in his opening remarks at the meeting with Peña, speaking in Hindi.
Modi noted that India and Paraguay are integral parts of the Global South with similar aspirations and challenges and said: “This is why we can learn from each other’s experiences to deal with these challenges effectively.”
{{/usCountry}}Modi noted that India and Paraguay are integral parts of the Global South with similar aspirations and challenges and said: “This is why we can learn from each other’s experiences to deal with these challenges effectively.”
{{/usCountry}}Modi also expressed his deep appreciation for Paraguay’s strong condemnation of the Pahalgam terror attack and expressing solidarity with the people and government of India. “Both leaders unequivocally condemned terrorism and violent extremism in all its forms and manifestations,” P Kumaran, secretary (East) in the external affairs ministry, told a media briefing.
“We see new opportunities for cooperation in areas such as digital technology, critical minerals, energy, agriculture, healthcare, defence, railways, space and overall economic partnership,” Modi said. “We have a preferential trade agreement with Mercosur. We can work together to further expand it.”
In addition to setting up a joint commission as a key platform to review and advance cooperation in priority areas, the two sides are working on two separate memorandums of understanding (MoUs) to enhance collaboration in agriculture and space technology. The two countries are working on a MoU for Paraguay to collaborate with the Indian Space Research Organisation (ISRO) to develop and launch small and nano satellites, Kumaran said.
While Paraguay’s priorities in the defence sector are different from those of India, Kumaran said there is scope for bilateral cooperation in the context of Paraguay’s efforts to secure a large network of inland waterways, including bolstering law enforcement to tackle trans-national crimes such as human and drug trafficking.
Peña also expressed keen interest in attracting Indian investments and enhancing bilateral cooperation in health, pharmaceuticals, defence, infrastructure, mining and renewable energy. Peña urged Indian firms to take advantage of Paraguay’s position as one of the most open economies in the Mercosur region and promised to facilitate investments, officials said.
“Given their central location in South America, it would be possible for us to use Paraguay as a launching pad to try and access other markets in the region. Our companies would be looking at Paraguay as...a staging post and therefore, look at it in a way that is a force multiplier,” Kumaran said. “We will be looking at expanding our presence in South America, using Paraguay as a staging post.”
India and Paraguay also wish to expand trade links under the India-Mercosur preferential trade agreement. The members of Mercosur, a trade bloc that currently includes Argentina, Bolivia, Brazil, Paraguay, and Uruguay, are holding technical talks with India on enhancing market access and boosting bilateral and inter-regional trade.
There is serious interest in expanding the scope and reach of the India-Mercosur preferential trade agreement in terms of the range of products, though consensus has to be built up among the five members on the bloc on the terms of reference for further discussions, Kumaran said.
Two-way between India and Paraguay was worth $477 million during 2022-23, with Indian exports accounting for $317 million. India’s main exports were motor vehicles, agro-chemicals, auto parts and pharmaceutical products, while the key imports from Paraguay were soya oil, iron and steel, aluminium and animal products.