- Iran and India aim to boost agricultural trade beyond $1 billion through a BRICS-led initiative.
- Key commodities include rice, fruits, and oilseed cakes.
- Focus on local currency trade settlements to reduce US dollar reliance.
India and Iran’s strengthened partnership under the expanded BRICS framework marks a pivotal move in agricultural trade. With BRICS prioritizing economic cooperation among member nations, this initiative emphasizes sustainable food trade, particularly in rice and fruit exports.
Apart from commodity exchange, the agreement pushes for financial innovation within BRICS. It encourages trade settlements in local currencies like the rupee and rial.
New BRICS Alliance Powers Iran–India Agri Trade Surge
India’s export portfolio to Iran continues to be dominated by agricultural produce, particularly rice. In 2023, exports of rice surpassed $1.18 billion. This momentum is expected to gain further traction through the new BRICS initiative. It enables both countries to optimize logistics and supply chains for essential food commodities.
Iran, now a full BRICS member, sees this partnership as a gateway to greater economic integration in Asia. Its agricultural sector benefits from access to Indian expertise in mechanization, irrigation, and crop innovation. This collaboration potentially leads to long-term strategic efforts in food security.
The move towards settling trade in local currencies has been championed by multiple BRICS nations. This transition is spearheaded by India and supported by Iran. It represents a strategic shift aimed at fostering monetary sovereignty. Additionally, it shields trade from geopolitical fluctuations and sanctions.
Additionally, this partnership reflects BRICS’ broader mission to reform global economic governance. By encouraging bilateral ties like this, the bloc reaffirms its commitment to equitable growth. This is especially true among emerging and developing economies in the Global South.
This evolving Iran–India agricultural alliance under BRICS advances trade figures. Additionally, it aligns with the bloc’s vision for a multipolar, economically resilient global order.
“BRICS is no longer a talk shop. It’s a platform for tangible cooperation and transformative partnerships.” — Indian External Affairs Minister, Dr. S. Jaishankar
