India is set to roll out the first tranche of its bilateral trade agreement (BTA) with the United States within the next four to five days, Commerce and Industry Minister Piyush Goyal said on Thursday. The initial phase of the agreement will lead to a reduction in US tariffs on Indian exports to 18 per cent.
Goyal said a joint India-US statement is expected to be issued in the coming days. Following this, an executive order will be released, bringing the reduced 18 per cent tariff on Indian goods into effect.
“A more comprehensive and formal agreement is targeted for signing by mid-March,” the minister added.
The minister noted that India has already signed a record eight trade agreements, and the first tranche of the BTA with the US will soon become the ninth. The free trade agreements (FTAs) signed under Prime Minister Narendra Modi’s leadership, he said, are instrumental in India’s push towards modernisation.
“The FTAs signed under PM Modi help us in our thrust to modernise India,” Goyal said.
He also said that India is in the process of signing the terms of reference for a free trade agreement with the Gulf Cooperation Council (GCC), marking the revival of negotiations that have been underway for nearly two decades.
A comprehensive FTA with all six GCC nations would enhance policy predictability, attract greater investments, and strengthen food and energy security, the minister said. Sectors such as food processing, infrastructure, petrochemicals, and information and communications technology are expected to benefit significantly from the proposed agreement. India’s bilateral trade with the GCC currently stands at USD 179 billion.
The India-GCC FTA, Goyal added, would serve as a force multiplier for global good.
Meanwhile, Goyal said in Lok Sabha on Wednesday that the interests of Indian farmers have been safeguarded in the India-US trade deal, with agricultural and dairy products kept outside its scope.
He emphasised that sensitive sectors such as agriculture and dairy have been protected, while due attention has been given to food and farming concerns during negotiations.
The minister said the partnership would create new opportunities for MSMEs, skilled workers, and industry, strengthen bilateral ties, and ensure energy security, which remains a top priority for 140 crore Indians.
He added that the trade deal “will simplify access to advanced technologies and help realise India’s vision of ‘Make in India for the World’, ‘Design in India for the World’, and ‘Innovate in India for the World’.”
(With IANS inputs)
