Union Commerce and Industry Minister Piyush Goyal on Wednesday assured Members of Parliament that India has successfully safeguarded the interests of sensitive sectors, particularly agriculture and dairy, in the trade agreement with the United States, while ensuring significant benefits for Indian exporters.
The India–US trade deal, which reduces tariffs on Indian goods entering the US to 18 per cent, has triggered a political row, with Opposition members expressing concern over claims by US President Donald Trump that India may lower tariffs to zero on certain American goods and significantly increase purchases of US energy, technology and agricultural products.
Responding to the concerns in the Lok Sabha, Goyal said the agreement was finalised after nearly a year of negotiations following Prime Minister Narendra Modi’s visit to the US in February 2025.
“Negotiators from both sides engaged at various levels over the past year. Given the size and nature of both economies, it was natural for each country to safeguard its sensitive sectors. India has been successful in protecting the interests of key sectors such as agriculture and dairy, while the US also secured protection for its sensitivities,” the Minister said.
He said the trade deal would be favourable for Indian exporters, noting that tariffs under the agreement are lower than those imposed on several competing countries, giving Indian products a competitive edge in the US market.
“This agreement provides comparative advantages to Indian exporters, particularly in labour-intensive sectors and manufacturing. It will also benefit MSMEs, skilled workers and industries, while improving access to advanced technologies,” Goyal told the House.
The Minister said the trade deal aligns with India’s vision of Make in India, Design in India and Innovate in India for the world, and is a significant step towards Viksit Bharat 2047 and Atmanirbhar Bharat. He added that both sides are completing the remaining technical formalities and paperwork to operationalise the agreement.
On energy imports, Goyal reiterated that ensuring energy security for 140 crore Indians remains the government’s top priority. He said diversifying energy sources is central to India’s strategy as the country moves towards becoming a developed nation.
“As India strengthens its capabilities in sectors such as energy, aviation, data centres and nuclear energy—where the US is a global leader—it is natural to explore trade opportunities that expand both procurement and exports. These decisions are taken in the larger interest of the public and the nation,” he said.
The Minister’s address was marked by sloganeering and protests by Opposition members.
Earlier, Goyal had also stated that Prime Minister Modi has consistently championed the agriculture and dairy sectors, ensuring their protection in the India–US trade deal.
(ANI)
