India Mexico trade talks begin as countries sign negotiating terms

India Mexico trade negotiations formally began after the two countries signed terms of reference in Mexico on Wednesday, October 28. The framework sets out how they will pursue a preferential trade agreement, according to a government announcement.

Commerce Secretary Rajesh Agrawal represented India and held talks with Mexico’s Undersecretary of Foreign Trade Luis Rosendo Gutiérrez Romano. Romano participated on behalf of Economy Secretary Marcelo Ebrard Casaubon.

The move follows an understanding between Prime Minister Narendra Modi and Mexican President Claudia Sheinbaum when they met alongside the G7 Summit in Canada in June 2025. The newly signed document defines the scope and planned course of negotiations.

Goods access and customs among negotiating areas

The talks will address access to goods markets, rules determining product origin, customs processes and steps to make trade easier. Other areas include dispute resolution, food and plant health measures, technical trade barriers and trade remedies.

Agrawal said the negotiations would seek opportunities to increase commerce, support investment and improve supply-chain connections. The government identified Mexico’s links with global production networks as an opportunity for Indian businesses.

Potential areas for cooperation include vehicles, chemicals, electronics and pharmaceuticals. The government also listed agri-food, energy, critical minerals, medical devices and advanced manufacturing among promising sectors.

The India Mexico trade initiative comes after Mexico increased duties on more than 1,400 products imported from countries without free trade agreements, including India. According to reports, tariffs rose from around 5 per cent to levels reaching 50 per cent.

Indian exports to Mexico totalled $5.7 billion in the last financial year, with automobiles and vehicle parts contributing close to $1.5 billion. Those figures underline the exposure of exporters to the changed tariff environment.

The officials also discussed a possible Mexican business delegation visiting India in the first quarter of 2027. The proposed visit would allow companies to meet and explore commercial opportunities; it has not been announced as a confirmed mission.

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