Celebrating 70 years of India-Chile diplomatic relations…

New Delhi, September 26: Chile, a vertically expanded country on the west coast of the South America continent, yesterday, celebrated 209th anniversary of its independence. However, the event was not organized to celebrate the independence day only but another coincidence i.e. 70th anniversary of India-Chile diplomatic relations! Union Sports Minister Kiren Rijiju was invited as the Chief Guest for the event.

 

 

India-Chile Political Relations:  

In 2009, India and Chile celebrated 60 years of the establishment of diplomatic relations which coincided with the visit to India by the President of Chile, H.E. Dr. Michelle Bachelet Jeria. This was in reciprocation of then Hon. President of India, Smt. Pratibha Devisingh Patil´s visit to Chile in 2008. The bilateral relations have strengthened over the years with the exchange of high-level visits, including visits by HoS/HoG, Cabinet Ministers, parliamentary delegations and Army, Navy and Air Force Chief. This year, the celebration of the 70th anniversary of diplomatic relations is characterized by the visit of kiren Rijiju to Chile. 

India-Chile relations are characterized by warmth, friendship and a commonality of views on a wide range of issues. Chile shares India’s concerns over the threat of international terrorism and has regularly condemned the acts of cross-border terrorism that India has suffered. Both countries cooperate extensively in multilateral fora and share similar views on expansion and reforms of the UNSC. Chile articulated its support for India’s claim to a permanent seat in the UNSC in a Joint Statement issued at the conclusion of the official visit of Chile’s Foreign Minister to India in April 2003. It has also signed the International Solar Alliance Framework Agreement in November 2017.

Most recently, September 6, 2016, an Agreement on the expansion of the India-Chile Preferential Trade Agreement (PTA) was signed in New Delhi which increased the scope of the agreement from about 474 tariff lines to 2829 tariff lines. The Sixth Round of India-Chile Foreign Office Consultations was held in New Delhi on 31 October, 2014. 

The Defence Wing in the Embassy of India, Santiago, was established in July 2006. An MoU between the ‘Navies of Chile and India Establishing a Framework for Cooperation and Confidentiality in Navy Issues’ was signed on October 2, 2006. Subsequently, an MoU on ‘Defence Cooperation between the Ministry of Defence of the Republic of India and the Ministry of National Defence of the Republic of Chile’ was signed on January 12, 2007, at Santiago, Chile. Since establishment of the Defence Wing, cooperation has been in the form of cross training, ship visits, adventure activities, as also defence sales.

 

High value-added items such as commercial vehicles (Telco, Mahindra), motor cars (Tata Motors, Maruti Suzuki, Hyundai), two-wheelers, and bulk pharmaceuticals have entered the Chilean market, and are among the top 10 Indian exports to Chile. Other traditional items being imported by Chile are home furnishings, garments, handicrafts, textiles, carpets and hand-tools. India’s imports from Chile are predominantly copper, iodine, chemical wood pulp, molybdenum concentrates, walnuts and apples. Discussions are underway to finalize phyto-sanitary requirements for the export of avacados and blue berries from Chile, and the import of mango, coco peat, pomegranate and pomegranate arils from India.

India’s exports to Chile have been growing steadily since 2009, with the exception of a slight decrease in 2014, when a new carbon tax on diesel vehicles in Chile adversely affected motor vehicle exports from India, but this sector has seen a big recovery. Chilean exports to India have also increased, though there was a slump in 2015 and 2016 due to the impact of low copper prices, the major export item in Chile’s basket. The bilateral trade has increased in 2017 over 2016.

Indian investment in Chile, based on the information given by various companies, amounts to about US$ 216.25 million. Indian companies have entered the Chilean market by acquiring Chilean companies or setting up joint ventures, including Jindal Steel Works, TCS, Oracle Financial Services, Polaris, Evaluserve, Godrej, Tega Industries, Dr.Reddy’s Chile, Seven Pharma, Wipro Technologies, Tata Motors, Bajaj Auto, Mahindra & Mahindra, Maruti Suzuki, etc. Chilean investment in India amounts to US$ 150.54 million (source: DIPP).

 

 

Indian culture is very popular in Chile. There are a large number of local Yoga schools (Kundalini Yoga, Iyengar Yoga, Bikram Yoga etc.) and practitioners. There are also quite a few Chileans who have learned Indian classical dance and music, some of whom run their own schools. Bollywood music and dance is also popular. Indian cuisine is appreciated and there are many Indian restaurants in Santiago. Organisations such as ISKCON, Brahmakumari Samaj, and Art of Living are also flourishing. There are Hindu Temples in Santiago, Iquique and Punta Arenas. There is also a small but thriving community of Buddhists. Cultural events are organised regularly by the Embassy. 

The origins of the Indian community in Chile can be traced back to 1905. Currently, it is estimated that there are around 3000 Indians living in Chile of which approx. 50% have obtained Chilean nationality. The majority are from the Sindhi community who are mainly engaged in business, and have integrated well with Chilean society. In addition, there is a constant flow of professionals and businessmen from India, working mainly in the ICT and financial services sectors and also in Indian companies represented in Chile. Some Indian labour is also present in Chile, working mainly in Indian restaurants and as agricultural workers.