India-US Trade Pact Protects Key Sensitive Sectors
Commerce Secretary Rajesh Agrawal stated that India has consistently approached negotiations with a "clear mindset" regarding sectors that are "extremely" sensitive for the country in trade agreements, safeguarding all those crucial segments in the interim trade deal with the US.
He also mentioned that both teams are collaborating to transform the joint statement into a legal contract, which is anticipated to be completed and signed prior to the end of March.
"India has consistently approached all negotiations with a distinct perspective; on matters crucial to India—especially concerning our farmers, fishermen, and dairy sector—we have explicitly communicated to our partner countries that India cannot liberalize or allow access," says Rajesh.
"Examining all the agreements we made in the past year, the five trade agreements we signed -- every sensitive sector has been safeguarded. In the US, all essential sensitive industries have been safeguarded. Wherever some sensitivity exists, we have implemented tariff rate quota systems to guarantee that any market access remains restricted and does not affect our farmers," adds Rajesh.
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As part of the interim trade agreement revealed earlier this month, India has completely safeguarded sensitive agricultural and dairy items including maize, wheat, rice, soya, poultry, milk, cheese, ethanol (fuel), tobacco, some vegetables, and meat, since no duty reductions have been provided to the US for these products within the agreement.
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These products are delicate since they pertain to the sustenance of small and marginal farmers within the nation.
In other Free Trade Agreements (FTA), India has not granted any import duty reductions on sensitive agricultural and dairy goods. It has recently concluded FTAs with the EU, the UK, and Australia.
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Agriculture and related activities like animal husbandry constitute the foundation of India's rural economy, providing employment to more than 500 million individuals. In contrast to developed countries, where farming is extensively mechanized and corporate-driven, in India, it pertains to sustenance.