Chile

Map: world

Current relevance:

1.        India and Chile are advancing negotiations for an India–Chile Comprehensive Economic Partnership Agreement (CEPA). On 26 August 2026, India's Commerce Secretary met Chile's Vice-Minister of International Economic Relations in Santiago, Chile, with India targeting conclusion of the negotiations by the end of 2026.

2.      The proposed CEPA seeks to deepen cooperation in healthcare, pharmaceuticals, energy, minerals, agriculture, machinery and engineering, while promoting investment, technology, talent and resilient supply chains.

Continent:     

Chile is located in South America, occupying a long, narrow strip between the Andes Mountains in the east and the Pacific Ocean in the west.

Bordering Countries:

Chile shares land borders with three countries — Peru to the north, Bolivia to the northeast and Argentina to the east.

Important Rivers:

1.        Chile is extremely long and narrow, most major rivers generally descend from the Andes westward towards the Pacific Ocean.

2.      Important rivers to mark include the Loa, Aconcagua, Maipo, Maule, Biobío and Baker.

3.      Loa River: Important river of northern Chile and the Atacama region.

4.      Maipo River: Important River associated with the Santiago Metropolitan Region.

5.      Biobío River: One of the major rivers of central-southern Chile.

Important Places:

1.        Santiago: Capital and principal economic and administrative centre of Chile; venue of the latest India–Chile CEPA discussions.

2.      Andes Mountains: Extend along Chile's eastern side and form a major natural boundary with Argentina.

3.      Atacama Desert: Located in northern Chile; globally important mineral-rich region, particularly associated with copper and lithium resources.

4.      Pacific Ocean: Chile possesses an exceptionally long Pacific coastline, giving it significant maritime and Asia-Pacific connectivity.

5.      Strait of Magellan: Strategically important natural passage in extreme southern Chile connecting the Atlantic and Pacific Oceans.

6.      Cape Horn: Located in the far south of the Chilean archipelago and historically important for international navigation.

Significance:

1.        Critical minerals: Chile's mineral resources make it important for India's interest in minerals, energy and resilient supply chains, areas specifically identified for enhanced cooperation under the proposed CEPA.

2.      Pacific location: Chile's extensive Pacific frontage provides strategic connectivity with the wider Indo-Pacific and Asia-Pacific economic region.

3.      Trade diversification: A CEPA can expand India's economic engagement with Latin America and diversify export markets and supply sources.

4.      Sectoral opportunities: India sees significant potential for bilateral cooperation in pharmaceuticals, healthcare, agriculture, energy, machinery and engineering.

5.      Global South partnership: India has highlighted the two countries' shared identity as members of the Global South as a foundation for deeper economic cooperation.

Source: PIB