The India-US Bilateral Trade Agreement provides strong safeguards to protect the interests of Indian farmers and domestic producers. It represents a significant turning point in trade relations between the two countries.
It also expands export opportunities through duty-free access for various agricultural and processed food products. Currently, India maintains a trade surplus of over $1.3 billion in agricultural trade with the US. The new agreement is expected to further strengthen India's position as a net agricultural exporter by providing enhanced market access and tariff stability. India's approach expands market access and creates additional export opportunities through a three-pillar framework, ensuring that trade remains complementary to domestic priorities rather than disruptive.
Under this agreement, products related to forestry and others have been placed under a zero reciprocal tariff. These include vegetable processing materials, vegetable waxes, vegetable saps, bleached beeswax, bamboo shoots, and various nuts. This move is expected to strengthen income streams for forest-dependent and tribal communities, while promoting agroforestry and related rural activities.
With reduced tariffs, improved market access, and safeguards for sensitive products, farmers benefit from stable domestic markets alongside growing export potential, ensuring strong economic gains under India's new trade partnership.
