India and South Africa have agreed to strengthen cooperation in critical minerals, pharmaceuticals and manufacturing while accelerating efforts to conclude the proposed India Southern African Customs Union (SACU) Preferential Trade Agreement. The discussions took place on the sidelines of the BRICS 2026 Trade Ministers’ Meeting in Jaipur.
Commerce and Industry Minister Piyush Goyal met South Africa’s Minister of Trade, Industry and Competition, Parks Tau, to review bilateral trade relations and explore new opportunities for economic collaboration. The meeting reflected both countries’ commitment to expanding strategic partnerships and building resilient supply chains for key industries.
A key focus of the discussions was the proposed India SACU Preferential Trade Agreement. The two ministers reviewed progress on the negotiations and discussed signing the Terms of Reference to facilitate an early conclusion of the pact. Once finalised, the agreement is expected to strengthen bilateral trade, improve market access and deepen India’s commercial engagement with the Southern African Customs Union, which comprises South Africa, Botswana, Lesotho, Namibia and Eswatini.
Critical minerals also featured prominently in the talks, with both sides exploring ways to strengthen cooperation in securing supplies of minerals essential for clean energy technologies, electric vehicles and advanced manufacturing. As India continues to expand its renewable energy and industrial capabilities, access to strategic resources such as lithium, cobalt, manganese and rare earth elements has become increasingly important.
The ministers also discussed opportunities to expand collaboration in pharmaceuticals, industrial manufacturing and value chain development, with the aim of boosting investment, technology partnerships and long term trade.
The bilateral meeting took place during India’s BRICS 2026 Presidency, which has prioritised stronger economic cooperation, resilient supply chains, innovation and sustainable industrial growth among member countries.
Trade between India and Africa has grown significantly over the past two decades, increasing from around USD 7 billion in 2001 to more than USD 98 billion in 2023, according to the India Africa Entrepreneurship Forum. Cumulative Indian investments across the continent have also surpassed USD 75 billion, highlighting the expanding economic relationship between the two regions.
With a combined economic potential estimated at nearly USD 7 trillion, India and Africa continue to identify opportunities across sectors including healthcare, artificial intelligence, fintech, climate technology, manufacturing, logistics and digital infrastructure.
The latest engagement between India and South Africa underscores the growing strategic importance of their partnership, with both countries seeking to strengthen trade, secure critical mineral supply chains and expand economic cooperation under the BRICS framework.
