India, US Set To Conclude First Phase Of Trade Agreement: Report | India News

India and the US are “very close” to completing the first phase of the ambitious Bilateral Trade Agreement (BTA), a senior government official confirmed on Friday.

Both sides have reached a broad consensus on most key issues, and negotiators are currently working to determine the exact language of the agreement, according to the official. The official expressed optimism about meeting the intended timeline, adding, “There are not many differences left to be resolved. Discussions are proceeding smoothly and no new problems have emerged that would pose an obstacle.”

Negotiators from both countries held a virtual round of negotiations on Thursday. Five rounds of negotiations have been held since March for the first phase of the trade agreement, which was initially targeted to be signed in the autumn of 2025.

Officially proposed in February under the leadership of both countries, the BTA aims to more than double the volume of bilateral trade (from the current US$191 billion to US$500 billion by 2030).

Last month, Commerce and Industry Minister Piyush Goyal visited the US to lead high-level discussions on the trade deal. He was joined by a delegation including India’s Chief Negotiator and Special Secretary Rajesh Agrawal.

In mid-September, a US delegation led by Deputy US Trade Representative for South and Central Asia Brendan Lynch held talks with Indian Ministry of Commerce officials that were described as “positive and forward-looking”. Both sides agreed to accelerate efforts to conclude the agreement early and in a mutually beneficial manner.

In recent months, India and the US have been negotiating an interim trade agreement; Meanwhile, the Indian side expressed concerns over Washington’s efforts to further open India’s agricultural and dairy sectors. These sectors are vital for India as they provide livelihood to millions of people.

Previously, US President Donald Trump had imposed a 25% tariff on Indian goods that came into effect on August 1, despite expectations that a trade deal could help prevent such measures. Later, claiming that India continued to import Russian oil, Trump announced an additional 25% customs duty, effective from August 27, bringing the total to 50%.

The US President had previously imposed similar reciprocal customs duties on many countries with which Washington had a trade deficit.

(via ANI Inputs)