India-US Trade Pact to Be Finalised Promptly After Tariff Advantage Is Secured

Commerce and Industry Minister Piyush Goyal on Thursday said that the country will finalise the trade deal with the US once Washington gives domestic exporters a preferential tariff advantage over competing countries.

Goyal said India had secured a good deal in all nine free trade agreements (FTAs) finalised to date.

Speaking at the National Workshop on “Leveraging FTAs an Outreach Programme” here, the minister said every agreement was a win-win for both sides, while every sensitive sector, including those sensitive to farmers, fishermen, MSMEs and workers, as well as critical sectors such as pharmaceuticals, textiles, processed agri-foods and agricultural products, had been given a good deal that India could be proud of.

Commerce Minister said as soon as the “United States was able to provide India a preferential rate in comparison with India’s competition, the bilateral trade agreement (BTA) would be finalised and the finer details announced”.

On FTAs already operational and those coming into force, the Minister said an ambitious target had been taken for the current year.

With the India-UK FTA live from July 15, Mauritius, Oman, the UAE, Australia and the UK were already live. EFTA, comprising four countries, would also become live, while New Zealand would get live soon, followed thereafter by the European Union’s 27 nations.

The minister said exports during the first four months of the current year had reached about $317 billion, compared with $280 billion during April-July last year, representing an increase of $36-37 billion in the first four months itself.

Exports generally accelerate as the country moves closer to Christmas and peak during the last quarter, from January to March. He said the current trend was a good sign and emphasised the need to sustain the growth.

Referring to the August numbers available so far, Goyal said India appeared to be on course. With collective effort and more opportunities opening up, he expressed confidence that the opportunities would reach every district and every sector with present and future potential.

India would expand its product basket, encourage new exporters, help small exporters become large exporters and support even large exporters in every respect possible, said the minister.

He said wherever the Strait of Hormuz causes a problem, ways should be found to support small exporters particularly.