As commerce negotiations between India and america attain a essential juncture, Union Agriculture Minister Shivraj Singh Chouhan has made it clear that New Delhi is not going to compromise on core pursuits. “‘Nation first’ is our moolmantra. No negotiations will happen underneath strain. Negotiations can be executed preserving the pursuits of farmers in thoughts. India is not going to come underneath any type of strain,” Chouhan stated on Sunday.
Commerce Minister Piyush Goyal additionally underscored this stance, saying India refuses to be rushed into commerce offers. “An FTA ought to be a win-win. India by no means negotiates commerce offers based mostly on deadlines. Our focus is at all times on equity and what advantages the nation,” he advised reporters on Friday. Goyal added that negotiations are ongoing with a number of international companions, together with the US and EU. He additionally clarified that there are not any speedy plans to go to Washington D.C. as Parliament session will begin quickly.
Talks between the 2 international locations are intensifying as they close to the July 9 deadline for finalising a suspended 26% reciprocal tariff regime. A high-level Indian delegation was not too long ago in Washington for discussions on an interim commerce pact. The US has been pushing for tariff concessions on industrial items, EVs, wines, petrochemicals, dairy, and farm produce together with apples and tree nuts. In distinction, India has prioritised obligation reduction on textiles, gems and jewelry, leather-based, shrimp, bananas, grapes and different labour-intensive exports.
Nevertheless, the sticking factors stay agricultural and dairy concessions. These sectors are politically delicate and economically important to India’s rural inhabitants. India has by no means opened its dairy sector in any prior commerce pact, and with most Indian farmers engaged in small-scale sustenance farming, the federal government is unwilling to danger undercutting them with subsidised US imports.
The World Commerce Analysis Initiative (GTRI) not too long ago stated that the US merchandise like rice, dairy, poultry, and GM soy profit from deep subsidies and it provides them an unfair benefit over Indian producers. It added that any dedication to completely decrease farm tariffs underneath the India-US free commerce settlement could be irreversible and strategically unwise.
“Tariff cuts on US farm items may undermine India’s meals safety by exposing small farmers to low-cost, subsidised imports and international value volatility,” stated GTRI founder Ajay Srivastava. “India should retain tariff flexibility to guard over 700 million rural livelihoods and keep away from repeating previous errors made underneath international commerce offers.”
