India-US Trade Deal | Dairy, agriculture protected, says Piyush Goyal

India has protected its sensitive sectors such as dairy and agriculture under the informal US-India trade deal, Commerce Minister Piyush Goyal said during a press meet today (February 3). The statement comes a day after the two countries announced a tariff reduction to 18% from the earlier 50% as part of the bilateral deal.

“Our teams were engaged with the US since months over several issues,” the minister said, adding that the earlier 50% tariffs had significantly impacted marine and textile exporters as well as farmers. “Those concerns were clearly communicated during negotiations,” he said.

The minister underlined that the revised tariff structure would open up opportunities across a wide range of sectors. Exporters, the technology sector and companies building global supply chains in India through global capability centres (GCCs) are expected to be key beneficiaries. Labour-intensive sectors are also likely to see gains.

Marine exporters across coastal regions have already expressed satisfaction over the agreement. According to the minister, they see the deal as holding “a bright future for India,” especially after months of uncertainty caused by higher tariffs.

ALSO READ | US trade deal done, fund managers now watch earnings and foreign flows

MSMEs, engineering goods manufacturers, auto component makers, and players in the leather and marine goods sectors are also set to gain. “These sectors will get immense opportunities,” he said, pointing to improved market access and cost competitiveness.

ALSO READ | India-US trade deal: Sectors and stocks set to win big as tariff eases

The minister also credited PM Modi’s personal equation with US President Donald Trump for helping India secure a better deal than many of its peers. “That relationship helped finalise a more balanced outcome while safeguarding our core interests,” he said.

While the commerce minister did not share the details of the deal, he said both governments will soon issue a joint statement outlining it.

ALSO READ |  India-US Trade Deal: Sectors that may still continue to face tariffs under Section 232