Doing Business in India and Brazil [Webinar Summary]

The webinar titled “Navigating Opportunities and Challenges of Doing Business in India and Brazil” was jointly convened by Hammurabi & Solomon Partners, India, and TozziniFreire Advogados, Brazil, with the objective of fostering a comprehensive dialogue on the legal, regulatory, commercial, and cultural frameworks governing cross-border business operations between the two jurisdictions. The session, moderated by Ms. Shweta Bharti, Managing Partner, Hammurabi & Solomon Partners, featured eminent speakers Mr. Ashutosh Das, Mr. Amit Verma, Mr. Luís Renato Okumura, and Ms. Carla Duhella Buana, who deliberated upon the comparative investment regimes, regulatory architecture, and policy mechanisms prevailing in India and Brazil, while identifying key opportunities and procedural challenges for foreign investors in both the jurisdictions.

In her opening remarks, Ms. Bharti observed that India and Brazil, despite their geographical distance, share analogous economic aspirations, robust demographic potential, and evolving governance frameworks, which collectively make both jurisdictions highly conducive for international investment. She underscored that while both economies offer significant market opportunities, the successful execution of business operations depends upon a clear understanding of local regulations, compliance obligations, and governance mechanisms.

From the Indian standpoint, Mr. Ashutosh Das highlighted the country’s demographic advantage and macroeconomic progress, observing that India, with a population exceeding 1.46 billion across 28 States and 8 Union Territories, presently ranks as the world’s fifth-largest economy and is projected to ascend to the fourth position by 2026. He emphasized India’s expanding role in international groupings such as BRICS and the G20, and elucidated the impact of policy initiatives such as Make in India and Digital India, which have positioned India as a global manufacturing and technological hub. He identified sectors such as healthcare, renewable energy, fintech, manufacturing, and information technology as prime avenues for investment while acknowledging the regulatory diversity arising from India’s federal structure as an operational consideration for investors.

Mr. Amit Verma, Partner, Hammurabi & Solomon Partners, provided an in-depth exposition of India’s foreign investment regime under the Foreign Exchange Management Act (FEMA), elucidating the distinction between the Automatic Route and the Government Approval Route. He stated that 100% foreign direct investment (FDI) is permissible in several sectors, subject to sectoral caps and regulatory conditions. Mr. Verma further discussed policy reforms aimed at enhancing the ease of doing business, including digitization of compliance, consolidation of labor laws into four codes, and the introduction of Production-Linked Incentive (PLI) schemes, Special Economic Zones (SEZs), and Startup India initiatives. He also emphasized fiscal reforms such as the implementation of the Goods and Services Tax (GST) and infrastructure initiatives under Atmanirbhar Bharat and the National Infrastructure Pipeline (2019–2025). However, he acknowledged the continued existence of procedural challenges such as regulatory overlap, land acquisition constraints, and currency fluctuation risks that may impede investment operations.

From the Brazilian perspective, Mr. Luís Renato Okumura, Partner, TozziniFreire Advogados, elaborated upon Brazil’s corporate and investment law framework, describing it as Latin America’s largest economy with over 210 million citizens governed through a stable democratic structure. He outlined three primary channels for foreign investment, external loans, direct equity participation, and stock exchange transactions stating that direct equity participation remains the most common entry mechanism. He further delineated Brazil’s principal business vehicles: the Limitada (Limited Liability Company), characterized by operational simplicity, and the Sociedade Anônima (Corporation), preferred for large enterprises subject to regulation by the Brazilian Securities and Exchange Commission. Mr. Okumura emphasized the legal requirement for non-resident shareholders to appoint a resident legal representative vested with power of attorney and to disclose ultimate beneficial ownership, in compliance with transparency and anti-money laundering norms. Addressing taxation, he noted the multi-tiered tax structure across federal, state, and municipal levels and the ongoing legislative efforts to simplify and rationalize the same.

Ms. Carla Duhella Buana, Partner, TozziniFreire Advogados, supplemented the discussion by emphasizing the importance of pre-entry legal and regulatory planning. She highlighted that although Brazil has significantly advanced in digitizing corporate and regulatory processes, foreign entities are still required to undertake comprehensive documentation and translation exercises, particularly for financial and licensing compliance. She further emphasized that cooperation with local legal counsel is indispensable for ensuring timely compliance and mitigating bureaucratic impediments within Brazil’s highly regulated environment.

During the comparative deliberation, the panelists observed that both India and Brazil share structural similarities, such as a federal system of governance, rapid digital transformation, and ongoing reforms in taxation and labor regulations. Nevertheless, both jurisdictions continue to face challenges related to bureaucratic unpredictability and multi-layered approval processes. Mr. Das cautioned that foreign investors often encounter practical impediments when attempting to apply business models from their home jurisdictions without adapting to the cultural and regulatory particularities of India. He recommended that investors undertake jurisdiction-specific due diligence and select appropriate industrial corridors to optimize compliance and efficiency. Ms. Buana concurred, stressing that strategic documentation and early identification of regulatory prerequisites in Brazil are critical for aligning business timelines and expectations.

In addressing collaborative business models, Mr. Amit Varma emphasized the practical advantages of entering into local partnerships or joint ventures, citing examples from India’s energy and pharmaceutical sectors where such collaborations have yielded regulatory and operational efficiencies. Mr. Okumura endorsed this position, noting that joint ventures remain one of the most effective modes for international investors entering Brazil. He cited the partnership between Shell (U.K.) and Cosan (Brazil) as a model example of successful cooperation within the energy sector. Both speakers underlined the crucial role of experienced local legal advisors in ensuring statutory compliance and mitigating procedural delays.

With regard to digital transformation, Mr. Das observed that India’s adoption of e-governance, electronic filings, and Unified Payments Interface (UPI) based systems has substantially enhanced transparency and minimized human discretion, contributing to India’s improved global ease-of-doing-business rankings. Ms. Buana echoed these advancements in Brazil, highlighting the increasing adoption of e-signatures, electronic incorporations, and data protection reforms under the Lei Geral de Proteção de Dados (LGPD), along with ongoing deliberations on artificial intelligence (AI) regulation. She emphasized that these initiatives reflect Brazil’s commitment to responsible digital governance.

Concluding the proceedings, the panel collectively expressed optimism regarding the potential for enhanced economic cooperation between India and Brazil. The speakers concurred that both jurisdictions, while situated on different continents, possess complementary economic strengths, robust consumer markets, and reform-driven policy environments conducive to bilateral collaboration. It was collectively acknowledged that successful cross-border investment depends upon regulatory preparedness, cultural adaptability, strategic foresight, and sustained institutional cooperation.

In her closing remarks, Ms. Bharti observed that the session served as a constructive platform for fostering mutual understanding between the two legal systems and proposed the continuation of such engagements to explore sector-specific opportunities and deepen bilateral cooperation.

In summation, the webinar reaffirmed that while both India and Brazil exhibit procedural complexities inherent in large federal democracies, their combined demographic strength, economic dynamism, and policy reform trajectory render them highly attractive destinations for foreign investment. Through informed legal structuring, proactive compliance, and sustained partnership, both nations stand well-positioned to advance South–South economic cooperation and redefine the future framework of emerging-market collaboration.

Click below link to watch the Webinar Session

https://www.youtube.com/watch?v=7BJYNdEQVjU