The decline in India’s exports has made our current account deficit position precarious due to the slowdown in the economy of conventional export market like North American Free Trade Agreement (NAFTA) nations and European Union (EU). This paper attempts to explore the emerging economy and unconventional market of Argentina for boosting Indian exports. China has superseded USA in Latin American market by providing and supplying price competitive goods and adopting modern marketing strategies. India’s low value-added products, unable to make their place in developed countries’ economies, can comfortably be absorbed in Argentina. India needs to produce high value-added products for the upper middle class of Argentina but for lower middle classes price competitive products are required.

India’s current account deficit position is a point of concern for Indian policy makers. Among the components of the current account on balance of payment, it is trade deficit which is making the current account deficit position precarious. In October- December 2012, the current account deficit position crossed 5% of GDP. No doubt, in 2013-14,1 it reduced to 1.7% of GDP. The improvement is mainly due to export growth and decline in imports. This relief was only temporary; again the current account deficit position deteriorated because India’s exports again declined by 5% in October 2014.2 Therefore, there is a need for India to design products suiting the world market through proper marketing strategies and by making its exports competitive in the world market. There is a need for a paradigm shift in India’s export destinations by exploring the markets of emerging economies because still the North American Free Trade Agreement (NAFTA) nations and the European Union (EU) are India’s major trading partners and a slowdown in these economies affects India’s exports. This paper is an attempt to explore the emerging market of Argentina in the light of a study by IMF comprising 16 of the largest emerging market economies, including India and Argentina.3 India signed the limited preference agreement with MERCOSUR (grouping of Argentina, Brazil, Paraguay and Uruguay) in 2004; MERCOSUR has given preferential access to Indian products (452 in all) to its market.

International Relations Journal, North American Free Trade Agreement (NAFTA), European Union (EU), Economies of India, Argentina, India-Argentina, Trade Relations, India.