By Anmol Motwani | Journalist & Industry Analyst - Tue, 09/26/2023 - 10:00
Q: What is the status of trade and economic cooperation between Mexico and India?
A: India and Mexico's historical quests for freedom, dedication to democratic principles and shared developmental goals have cemented a robust and cherished partnership between our two countries. The evolution of our privileged partnership was marked by the visit of former Mexican President Felipe Calderon to India in 2007, leading to a pivotal agreement . During a visit to Mexico in 2016, Prime Minister Narendra Modi put forth the idea of elevating the relationship to a strategic partnership, strengthening ties even further.
Bilateral trade and investment relations are experiencing a notable upward trajectory. In 2022, we witnessed historically high bilateral trade, reaching US$11.4 billion and firmly establishing India as Mexico's 10th-largest trading partner. Mexico's attractiveness as a nearshoring destination continues to draw substantial global investments, while India's remarkable economic growth has positioned it as the world's fifth-largest economy. These economic dynamics create a complementary relationship, brimming with opportunities for mutual benefit through strengthened economic ties.
Q: In which sectors has Indian investment left a significant imprint in Mexico?
A: Three sectors stand out: automobiles, information technology (IT) and pharmaceuticals. Indian IT companies like TCS, Infosys, HCLTech, Tech Mahindra and Wipro have established operations in Mexico. Indian automotive companies, such as Bajaj, TVS and JK-Tornell, have also made substantial contributions. Finally, Indian pharmaceutical giants, such as Dr. Reddys, Cipla, SunPharma, Zydus, Micro Labs and Torrent, have a substantial presence in Mexico. During Nuevo Leon Gov. Samuel Garcia’s recent visit to India, the automotive parts manufacturer Vimercarti Viney unveiled a plan to invest US$200 million over the next decade in Nuevo Leon.
Mexican companies have reciprocated this investment, with well-known brands like Bimbo, Cinepolis, Kidzania and Nemak making their mark in India. Mexican investments in India amount to about US$810 million, while Indian investments in Mexico have surged to about US$3 billion.
We have merely scratched the surface of our potential. Significant untapped opportunities for further growth in bilateral trade and investment exist, which have the potential to double trade volume within the next five years. We are actively engaged in collaborative efforts with Mexican authorities to address specific challenges and overcome bottlenecks, all in pursuit of fortifying and enhancing our bilateral trade and investment relationship.
Q: What specific initiatives or agreements are in progress to enhance bilateral trade between Mexico and India?
A: We are actively exploring the feasibility of a Free Trade Agreement. A Bilateral High-Level Group (BHLG) was established in May 2007 to facilitate trade, investment and economic cooperation. We engage regularly through this forum to discover new trade and investment opportunities and to address trade bottlenecks.
We launched The Trade and Commerce Council of India and Mexico (INDMEX) on Dec. 6, 2022, to promote cooperation between Indian and Mexican businesses. This council aims to resolve sector-specific challenges, support business growth and foster bilateral trade and investments. We are also committed to holding regular meetings with Government bodies like Mexico’s National Health, Safety and Quality Service (SENASICA) and the Ministry of Economy to ensure unhindered trade in agricultural commodities.
Q: How are efforts in the fields of culture and education promoting exchanges and collaborations between Mexico and India?
A: India and Mexico are two ancient civilizations that are proud of their history, culture and traditions. The similarities between them are so stark that the people of the two countries easily connect with each other. We need to conserve and promote this culture and these traditions among the people of our countries. We have continued to bring India closer to Mexico through the Gurudev Tagore Indian Cultural Centre in Mexico. We have also brought various cultural troupes and organized cultural programs in different cities in Mexico. India has been a regular part of the Cervantino and Santa Lucia festivals in Mexico as well as the International Image Festival (FINI) and International Book Fair (FIL).
We are nurturing collaborations between the universities of both countries. In February 2023, UNAM and Doon University of India signed an agreement. We have also established a chair in the Ayurveda School of Medicine at the Universidad Autónoma de Nuevo León (UANL) and are working toward establishing similar positions in other universities. We have set up “Indian Knowledge Nooks” at universities and high schools.
Q: What initiatives has the Embassy undertaken to support and engage with the Indian diaspora in Mexico?
A: The strength of any nation lies in its diaspora abroad. In Mexico, we are fortunate to have a vibrant and influential Indian community spread across various cities. The embassy has actively engaged with the Indian diaspora, showcasing the rich tapestry of Indian culture and its diverse festivals, such as Baisakhi, Pongal, Holi, Deepawali and Rakshabandhan.
During his visit to Mexico in October 2022, Law Minister and Minsite od State of Parliamentary Affair Mr. Arjun Ram Meghwal participated in the Navratri festival organized by the Indian diaspora. His participation was an acknowledgment of the Indian community's extraordinary commitment to preserving Indian culture and heritage, even when residing thousands of miles away from their homeland. We are on the verge of celebrating the Ganapati Festival in Mexico for the very first time, fostering unity with the Indian diaspora in this distinctive celebration.
Q: How does the celebration of Mexican Independence Day strengthen the bonds between Mexico and India?
A: Mexico was the first Latin American country to recognize India's independence and establish diplomatic relations in 1950. This remarkable understanding and closeness between our nations may find its roots in the shared struggles for freedom. During the early 1920s, Mexico served as a base for some Indian freedom fighters, such as MN Roy and Pandurang Khankhoje. Mexico also honored their contributions by naming a street in Roma Norte, Mexico City, after MN Roy and a bust of Khankhoje graces the entrance to the library at the Universidad Autónoma de Chapingo.
Mahatma Gandhi statues are also present in various cities, including Mexico City, Acapulco, Guanajuato, Cancun and San Luis Potosi, serving as a constant reminder of our shared values of peace and non-violence.
Q: What are the primary avenues for strengthening diplomatic ties between India and Mexico?
A: Sustained high-level exchanges play a pivotal role in maintaining and boosting the momentum of our bilateral diplomatic relations. New avenues of cooperation were outlined during former Foreign Minister Marcelo Ebrard’s visit to India, particularly in the fields of science, technology, innovation and healthcare. This visit led to collaborative efforts, such as an alliance between India’s ImmunoAct and Mexican institutions like the Salvador Zubirán National Institute of Medical Sciences and Nutrition (INCMNSZ), Instituto Politécnico Nacional (IPN) and the Mexican Agency for International Cooperation for Development (AMEXCID), to introduce advanced cancer therapies to Mexico.
Furthermore, India’s Council of Scientific and Industrial Research (CSIR) and AMEXCID signed a Memorandum of Understanding (MoU) for joint research in critical areas such as hydraulics, electromobility and low-cost vaccines. India has also extended an offer to Mexico to implement the Pradhan Mantri Bhartiya JanAushadhi Pariyojana (People’s Pharmacy Scheme) to provide generic medicines and surgical products at significantly reduced costs.
Space cooperation is another promising area for collaboration. India recently became the first country to land a space probe on the South Pole of the moon, at a cost of just US$75 million. India's successful Mars orbiter mission, costing US$73 million, further underscores the Indian Space Research Organisation’s (ISRO) capabilities. India's Aditya mission sent a space probe to study the sun. Mexico can benefit from India's expertise and experience in space exploration. Existing MoUs between ISRO and the Mexican Space Agency (AEM) in the fields of remote sensing and forest fire management also pave the way for deeper collaborations.
Q: India achieved a 100% consensus on the G20 New Delhi Leaders' Declaration. What implications does this have for global diplomacy and trade?
A: The New Delhi Leaders’ Declaration brought out under India’s G20 Presidency is historic. The declaration passed with unanimous consensus. It was a win for the entire global community. Inclusion of countries from the Global South added credibility to our arguments. One of the significant outcomes of the G20 Summit in New Delhi was the African Union getting its due place at the table.
A key part of the declaration is its long-term goals on climate change and sustainable development. As part of the Global South countries, India and Latin America understand the importance of working toward these goals as they directly affect our fight against rising poverty, inequality and hunger. The consensus reached will go a long way in highlighting these common concerns and help in ensuring food and energy security. In the words of Prime Minister Modi: “The G20 declaration has given clear directions for the growth and development of the global economy in the years ahead.”
Q: What are the embassy's goals for 2023 and 2024?
A: We aim to elevate our relationship with Mexico to a strategic partnership. This will be possible with careful steps addressing all aspects of the bilateral relationship. Both countries are focused on deepening and broadening our engagement and removing bottlenecks.
