Current Affairs - International - Discussion

Mexico is the country with which India has formally launched negotiations for a Preferential Trade Agreement (PTA). Both countries signed the Terms of Reference (ToR) on 28 October 2026, establishing the framework, scope and roadmap for the negotiations. The proposed agreement aims to strengthen bilateral economic relations, improve market access and create resilient supply chains. Key areas of discussion include trade in goods, rules of origin, customs procedures, trade facilitation and dispute settlement. Cooperation will also focus on sectors such as automobiles, electronics, pharmaceuticals, critical minerals, energy and advanced manufacturing. The initiative originated from discussions between Indian Prime Minister Narendra Modi and Mexican President Claudia Sheinbaum during the G7 Summit in June 2025.