India and Costa Rica have agreed to deepen bilateral economic engagement across trade, investment, and institutional cooperation, as merchandise trade between the two countries reached approximately $391 million in 2025–26. The commitment was formalised during the first meeting of the India-Costa Rica Joint Economic and Trade Committee (JETCO), held virtually on 8 July.

First JETCO Meeting: Key Developments

The inaugural JETCO session was co-chaired by Vimal Anand, Joint Secretary, Department of Commerce, on the Indian side, and Adriana Castro, General Director of Foreign Trade, representing the Republic of Costa Rica. Both sides reviewed existing bilateral trade and investment relations and exchanged perspectives on their respective regulatory and investment regimes, according to an official statement from the Ministry of Commerce and Industry.

The committee, established under the Memorandum of Understanding on Economic Cooperation between the two nations, serves as the principal institutional mechanism for advancing bilateral trade ties, resolving issues of mutual interest, and identifying fresh avenues for economic cooperation.

Sectors in Focus

The Indian delegation highlighted priority sectors for enhanced cooperation, including pharmaceuticals, digital technologies, manufacturing, and innovation. The Costa Rican side, in turn, presented an overview of the Central American trade integration regime and its experience in regional trade negotiations — underscoring the potential for India to engage with a broader Central American market through its Costa Rica partnership.

Both delegations also exchanged information on standards, accreditation, certification, and regulatory frameworks. Areas explored for cooperation include standards development, conformity assessment, food safety, pharmaceutical regulation, and export certification — measures aimed at reducing technical barriers to trade.

Why This Matters

The steady growth in bilateral merchandise trade to $391 million in 2025–26 reflects a strengthening economic relationship that has historically operated below its potential. JETCO's activation as an institutional platform signals a more structured approach to unlocking that potential. Notably, Costa Rica's role as a hub within the Central American integration framework means that deeper India-Costa Rica ties could open indirect access to a wider regional trade bloc.

This is also part of India's broader push to diversify trade partnerships beyond traditional markets in Asia, Europe, and North America — a strategy that has gained momentum under the current government's outreach to Latin America and the Caribbean.

What Comes Next

Both sides agreed to utilise JETCO as a regular platform for advancing cooperation, with plans for continued ministerial and industry-level interactions. Further meetings are expected to build on the regulatory exchange initiated at this session, with the goal of translating sectoral interest — particularly in pharmaceuticals and digital technologies — into concrete trade and investment flows.