New Delhi/Alive News: India and the United States have agreed to provide Indian goods preferential market access in the American market, with lower tariffs compared to competing countries, Commerce and Industry Minister Piyush Goyal said on Sunday.
Goyal said the understanding was reached between Prime Minister Narendra Modi and US President Donald Trump when the two leaders announced a broad framework for the bilateral trade agreement (BTA) a few months ago.
“India will get preferential trade access in the US with lower duties than our competitor countries,” Goyal told reporters. He was speaking during his two-day visit to Egypt to discuss ways to strengthen trade and investment ties between the two countries.
India and the US finalised the framework for the first phase of their bilateral trade agreement in February. However, the agreement, which was expected to be signed earlier, has faced delays due to changes in the US tariff policy and subsequent negotiations.
An official said last week that both countries were working to conclude the first phase of the agreement by the end of the current financial year. Discussions are continuing on both the initial phase and the broader trade deal.
The extent of the tariff advantage for Indian exports will depend on the final tariff structure agreed upon by the two sides.
Negotiations have also been affected by a change in the US tariff framework after the Supreme Court struck down President Trump’s reciprocal tariffs, which had formed the basis of the earlier discussions. Washington is now exploring alternative mechanisms under provisions of the Trade Act to establish a new tariff structure.
