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India, US move to formalise trade deal; legal pact likely by March 2026

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India and the United States are moving to translate the broad contours of their latest trade understanding into a formal legal agreement, with chief negotiator Darpan Jain set to travel to the US next week to push talks toward closure.

The Commerce Ministry said a joint statement outlining the framework of the deal has already been placed in the public domain. The next step is to convert that framework into a legally binding text.

Officials indicated that both sides are aiming to sign the legal agreement by March 2026, though they cautioned that no hard deadline has been fixed.

A key focus of next week’s discussions will be tariff reductions. India will seek to bring down certain US tariffs from 25% to 18%, as part of efforts to ease market access for its exports.

Cotton trade is also expected to feature prominently in the negotiations. The specific variety of cotton to be imported and the terms of market access are likely to be clarified in the final legal agreement. India currently imports about $250 million worth of US cotton.

The visit is seen as a critical step in firming up the legal architecture of the India-US trade arrangement, even as negotiators work through sensitive issues around tariffs and agricultural access before sealing the pact.



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