The emerging markets of Latin America and Caribbean countries which are on a growth curve are now looking at India for investments in pharmaceutical and medical devices trade. The region which has developed a vast Free Trade Agreements (FTAs) network is now identified multiple areas of common interest for joint action.

The Latin American Countries covering Brazil, Mexico, Chile, Columbia, Uruguay, Bolivia, Costa Rica Paraguay, Peru are now looking to strengthen and consolidate their complementary interests with India. At a seminar on Opportunities in Emerging Markets: Latin America & Caribbean and India, organised by the Confederation of Indian Industry (CII), brought together nine Ambassadors: Bolivia’s Jorge Cardenas, Brazil’s Carlos Duarte, Costa Rica’s Juan F Cordero A, Mexico’s Jaime Nualart, Paraguay’s Genaro Vicenre Pappalardo, Peru’s Javier Paluinich, Minister Counselor (Commercial) Embassy of Chile  Nestor Riverso, and Minister Counselor Embassy of El Salvador Vladimiro P Villalta Novoa including the former Ambassador of India to Argentina, Uruguay & Paraguay R Vishwanathan to discuss strategic opportunities in the growth markets for investors and exporters.

The LAC region represents major economies which have liberalized their trade and investment environment, implemented inflation-targeting monetary policy and prudent fiscal policy, improving the overall business environment.

The presentations made by the LCA ambassadors looked to explore business and investment opportunities and highlighted the challenges in the region besides what they looked from Indian investors, said L Krishnan, chairman CII, Karnataka.

In the wake of the global economic slowdown, the emerging markets of LAC have created the need to innovate in trade and investment, said Vishwanathan.

From a pharmaceutical and biotechnology manufacturing  perspective,  the region offers a sound Intellectual Property protection, legal transparency, Free Zones Regime which offers cent percent taxes exemption from taxes. Latin America imports pharmaceuticals from India.

In the area of medical devices, countries including Brazil, has an ideal business climate offering potential for innovation and high technology development. Indian companies can look for collaborations and joint venture partnerships, said Duarte.

Indian pharma companies such as Strides Arcolab, Ranbaxy, Dr Reddy's,  have stormed into the region to set up production facilities there. Besides there are several medium and small enterprises like Bal Pharma, Elder Pharma, Glenmark, Torrent, Flamingo Pharmaceuticals and Lifeline Industries Ltd which have seen the LAC as a big attraction for growth.

According to Jaime Nualart, Ambassador, Mexico and Chairman Grouping of Latin American & Carribean (GRULAC), the region has been registering growth in times of global slowdown. It has reported GDP of US$ 5 trillion with a growth rate of 3.1 per cent in 2012 and expecting to garner 3.8 per cent in 2013. This is significant compared to the global markets. Since India and LAC are complimentary economies and the trade needs to be harnessed. Current trade revenues of the region is US$ 1.6 trillion of which US$ 21 billion is with India.

“The growth of entrepreneurs is seen as catalyst for development of most economies and therefore there are number of incentives and tax concessions which the region offers for Indian business to thrive.  Pharmaceuticals, biotechnology and medical devices development are a crucial link in the region. Karnataka is also looking for investors from LAC, said Maheshwar Rao, Commissioner for Industrial Development, Director of Industries and Commerce, government of Karnataka.