India- Relations

Government:

Chile has a presidential form of . The Head of State and Head of Government is President Sebastian Pinera Echenique (since 11 March 2010). Elections are due every 4 years. A President cannot run for office for two consecutive terms. Chile has a bicameral Parliament. The has 38 Senators, with 8 year term (one half elected by popular vote every four years). The Chamber of Deputies has 120 MPs with a four year term. In the Lower House, the ruling coalition Alianza has 58 seats (UDI: 37; RN: 18; Others: 3); the opposition coalition Concertacion has 57 (PDC: 19; PPD: 18; PS:11; PRSD:5; PC:3; Other:1); while PRI has 3 and Independents 2. The Senate has 20 Senators from the Concertacion, 16 from the Alianza and 2 Independents.

Former President Dr. paid a state visit to India from 16-20 March 09. She was accompanied by a high-level delegation including the Ministers of Agriculture and Women Empowerment and a business delegation. Bachelet held discussions with Rashtrapatiji and Prime Minister. Vice President, External Affairs Minister, leader of the Opposition and Chairman, UPA called on her. Prime Minister and Dr. Bachelet underlined the importance of enhancing trade and economic relations. Bachelet invited the President and Prime Minister to pay state visits to Chile. Bachelet thereafter visited Mumbai and Chennai and was conferred with a doctorate degree by Madras University. Bachelet also met industrialists and businesspersons in Mumbai and Chennai, besides meeting with Governors of Maharastra and Tamil Nadu. Hon’ble Rashtrapatiji had earlier visited Chile in April 2008.

Chile shares India’s views on a number of international issues, especially of developmental concern. Chile has a perceptive understanding and a non-intrusive view of the Kashmir issue. 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. Chilean Parliament strongly condemned the terrorist attack on Indian Parliament. Chile also strongly condemned the terrorist attack in Mumbai on November 26, 2008.

Chile and India have similar views on expansion and reforms of UNSC. Chile has articulated its support for our 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 and Chile has continued to express this stand in our favour regularly since then.

Visits:

Important visits like Prime Minister Mrs. Indira Gandhi (1968), President Shankar Dayal Sharma (1995) and Hon´ble President Smt. Pratibha Devisingh Patil (2008) from India have been made. Likewise, the Chilean Presidents Mr. Ricardo Lagos Escobar (2005) and Dr. Michelle Bachelet (2009) have also visited India. Defence Chiefs from all three services from both sides have also visited each other’s countries. In addition, many Ministerial visits have also been exchanged. Recent visits from India include those of MOS for Commerce and Industry Shri Jyotiraditya Scindia visited Chile (September 2010), Shri. Dinsha J. Patel, MOS for Mines (April 2011) and Dr. S.Y. Quraishi, Chief Election Commissioner of India (July 2011).

Hon’ble , Lok Sabha, Smt. Meira Kumar led an Indian Parliamentary Delegation to Chile from 13-15 January 2012. The Delegation included Shri Satyavrat Chaturvedi, MP (), Shri A.K.S. Vijayan, MP (Lok Sabha), Smt. Renubala Pradhan, MP (Rajya Sabha), Shri Balakrishna Khanderao Shukla, MP (Lok Sabha), Shri Prem Das Rai, MP (Lok Sabha) and Shri T.K. Viswanathan, Secretary-General, Lok Sabha. During the visit, the Delegation held meetings with Hon`ble Mr. Rodrigo Hinzpeter, Vice President of Republic of Chile, Mr. , of Chile and Mr. Pedro Araya Guerrero, Acting President of Chamber of Deputies. The Delegation also visited Plaza de la India, Foundation in the World Heritage City of Valparaiso and Vina del Mar.

Shri Sachin Pilot, MOS (Communications and Information Technology) visited Chile in April 2012 and held fruitful discussions with the Chilean dignitaries.

Shri Salman Khurshid, External Affairs Minister visited Chile from 5-7 February 2013. This was the first-ever Foreign Minister level visit to Chile. Shri Khurshid held a series of bilateral meetings with Chilean authorities which included call on H.E. Mr. Andres Chadwick, Vice President, and Mr. Alfredo Moreno Charme, Foreign Minister of Chile. In , Shri Khurshid presided over the Foundation Stone Laying ceremony of Plaza de la India, where a full life size of bronze Statue of Mahatma Gandhi is being installed facing the Pacific Ocean.

H.E. Mr. Luis Mayol, Minister of Agriculture of Chile visited India from 11-12 June 2013 and held bilateral discussions with Mr. Charan Das Mahant, Minister of State for Agriculture and Food Processing Industries and Dr.(Smt.) D. Purandeswari, Minister of State for Commerce and Industry in New Delhi. Mr. Luis Mayol also participated in an Interactive Session organized by the Confederation of Indian Industry (CII). Chilean Agriculture Minister Luis Mayol, during his talks with the Minister of State for Agriculture and Food Processing Industries offered to export apples, cranberries, walnuts and avocados. MOS(A&FPI) expressed hope that the visit would further enhance strong bilateral relations between the two countries.

Dr. Farooq Abdullah, Minister of New and Renewable Energy, accompanied by a high-level delegation visited Chile from September 11-15, 2013 at the invitation of the Senate of Chile. During the visit, Dr. Farooq Abdullah met the Chilean Foreign Minister, Mr Alfredo Moreno Charme and the two Ministers discussed a variety of issues of bilateral interest. Dr. Abdullah also met Chilean Energy Minister Mr. Jorge Bunster and briefed him on the energy situation in India and discussed with him on the possible cooperation between India and Chile in the energy sector. Dr. Abdullah expressed his country’s desire for a serious and meaningful cooperation with the entire Latin American region, especially Chile, in renewable energy and offered all possible assistance.

Agreements:

During the State Visit of Hon’ble President of India to Chile in April 2008, four agreements/MoUs, were signed. Later during the State Visit of Chilean President in March 09, another four agreements were signed. The list of the agreements/ MoUs is as follows

i) Agreement For Cooperation in Science & Technology ii) MOU on Cooperation in Sports iii) Air Services Agreement iv) MOU on Antarctica Cooperation v) MOU on Co-operation in the field of New and Renewable Energy vi) Cooperation in the Exploration and Utilization of Outer Space for Peaceful Purposes vii) MOU on Co-operation in the field of Geology and Mineral Resources viii) Cooperation in the field of Education

Phytosanitary Agreement was also renewed immediately after the visit of Hon´ble President of India to Chile in April 2008.

ITEC:

ITEC has been re-introduced into Chile from 2005. Under this, India has gifted a computer laboratory at a cost of US$ 30,000 to the Republic of India School in . The Mission had started with 4 ITEC scholarships in 2005 but due to heavy demand and popularity of this programme, 7 Chileans were awarded ITEC scholarships in 2007. For the year 2008, Chile was allotted 7 slots. To meet increased demand, TC Division provided 17 slots to Chile for 2008, 30 for 2009, 25 for 2010, 25 for 2011, 35 for 2011-12, and 40 for 2012-13.

Trade and Economic Relations:

Bilateral trade has grown substantially to reach record levels each way. Chilean exports to India have been growing steadily from 2009 to 2012. Indian exports to Chile have also grown by 36.9%, 22.6% and 40.9% respectively over the last three years.

In 2012, Indo-Chilean bilateral trade was US$ 3.29 billion.

Following table gives the bilateral trade between India and Chile in million US Dollars:

Year Exports from Imports from Chile Total Indo-Chilean India to Chile by India (FOB) bilateral trade (CIF) 2009 278.07 908.35 1186.42 2010 380.91 1581.95 1962.86 2011 467.03 1964.99 2432.02 2012 658.45 2636.82 3295.27 2013 640.51 1932.70 2573.21 (Jan-Nov)

The above bilateral trade figures do not include India’s exports to the Free Trade Zone of , which amounted to US$ 39.2 million in 2010, US$ 42.9 million in 2011, US$ 60.8 million in 2012 and US$ 45.4 million in 2013.

High value-added Indian items such as commercial vehicles (TELCO, MAHINDRA), motor cars (Tata Motors, Suzuki Maruti, Hyundai), two wheelers, and bulk pharmaceuticals have entered the Chilean market. Other traditional items being imported by Chile are garments, handicrafts, textiles, carpets, and hand tools. India’s imports from Chile are predominantly copper, iodine, chemical wood pulp, molybdenum concentrates, and fresh apples.

Preferential Trade Agreement (PTA):

India and Chile have finalized plans to expand the bilateral Preferential Trade Agreement (PTA) giving more Chilean products access to the Indian market. The expanded agreement, which will take effect in 2014, is likely to be signed soon in 2014. India and Chile are both keen to elevate the PTA into a Comprehensive Economic Partnership Agreement (CEPA) and look forward to early commencement of negotiations on CEPA.

Double Taxation Avoidance Agreement (DTAA):

The Government of India has approved the signing of Double Taxation Avoidance Agreement (DTAA) with Chile. The Indian side has conveyed its readiness to the Government of Chile and the agreement is expected to be signed in 2014.

Indian Community:

Chile has around 1500 people of Indian origin, living here. About 40 per cent of them have obtained Chilean nationality. Half of them live in the northern free port of Iquique and the rest are in Santiago and Punta Arenas. Their main occupation is trading. The number of professionals and expatriates working in sectors such as ICT, including BPO and KPO, has been increasing of late. The Indian community has been here since 1902 and has no problems with the locals.

For more information and latest updates please visit Embassy of India, Santiago website: http://www.embajadaindia.cl/ Embassy of India, Santiago Facebook page: https://www.facebook.com/IndianEmbassy.Santiago

***** January 2014