I have spent 8 years in Latin America and I got the opportunity to interact with key stakeholders of the LATIN American ecosystem like owner or CEOs of the big corporates, Trade associations or chambers, Indian Missions or embassies, Political ecosystem of Latin America as well as most important part of Latin American society which are farmers or agribusiness. In this wonderful time spent in Latin America I was also able to meet many government officers or ministers visited Latin America to explore opportunities between India and Latin America.
India and most of the big economies of LATIN America (Mexico, Brazil, Argentina, Colombia) are on the same path of developing economies, despite there is big difference between per-capita GDP of these key LATAM countries compare to India and this make it more interesting. If we see from Indian Perspective Latin American countries are very good market for Indian business as they have more buying capacity per person due to more average income other side for LATIN American companies India is very interesting market with the volume concept as with 1.4 Billion population for many Latin American companies India is very interesting market.
Latin American and the Caribbean nations by estimated GDP (PPP) for 2025
| Rank |
Nation |
GDP (PPP) in International Dollars |
|
|
|
Total (billions) |
Per capita |
| 1 |
Brazil |
4,958.122 |
23,238 |
| 2 |
Mexico |
3,395.916 |
25,462 |
| 3 |
Argentina |
1,493.423 |
31,379 |
| 4 |
Colombia |
1,190.795 |
22,421 |
| 5 |
Chile |
710.195 |
35,146 |
| 6 |
Peru |
643.052 |
18,688 |
| 7 |
Dominican Republic |
336.082 |
30,874 |
| 8 |
Ecuador |
300.122 |
16,578 |
| 9 |
Guatemala |
282.833 |
15,633 |
| 10 |
Venezuela |
223.984 |
8,397 |
Source : wikipedia
Many big Mexican conglomerates are doing wonderful in India like KidZania, Cinepolis , Bimbo, vice versa many Indian Pharma companies , tech companies and auto parts companies are making Mexican economy more stronger. Mexico has also been well established as the hub of near shoring which can cater need of entire north America and cost of production make Mexico as an ideal place to put the manufacturing unit. Many border states of Mexico have been emerged as very strong hub for USA supply chain. Under the USMCA earlier known as NAFTA treaty, Mexico is having many benefits and become a reliable supplier for USA and CANADA. Besides USMCA , Mexico is also having free trade agreements with many countries, which make Mexico more strong contender in LATIN America.
Other than Mexico many other Latin American countries are very strong play area for the business and every country is looking opportunities to develop economic ties with India. From My experience in Latin America the key of success in this region to know the culture and how things move in this culture is very important. If a company is able to understand that then the growth curve will be really fast compare to normal business approach. Use of technology has been increasing in Latin American region and it is also a important hug of technology companies or GCC to cater Americas need.
Overall there is a lot yet to explore between India and Latin America and now a day’s distance and language are not big barrier if you have good people on ground both the side.
By: Jagdish Nainwal
Disclaimer: Views expressed above are the author’s own and do not reflect the publication’s views.
