This interim deal will significantly benefit India’s textile, leather, footwear, handicrafts, plastics, rubber and home decoration sectors. The 25% tariff imposed earlier by the US government has now been fixed at 18%. In addition, the additional 25% tariff has also been abolished. India and the US have reached an agreement, reducing the total 50% tariff imposed on India to 18%. As a result, increased exports to these sectors at 18% tariff are expected to create millions of new jobs in India, especially for women and youth.
According to the information provided by the Union Minister, products like rice, wheat, maize, soybean, milk, cheese, poultry and ethanol have been kept in the protected list. BJP leaders have also released a complete list of goods, which states which Indian regions have been fully protected from the US market.
There is no market open for the dairy sector. It has provided strong protection to millions of small dairy farmers and cooperative model. The deal will open up a huge US$300,000 billion market for Indian exporters, especially MSMEs, farmers and fishermen.
These products will not be allowed in the Indian market.
American agricultural products such as wheat, copra, siam, kodo, millet, kangni, oats, refined flour, chickpeas, chickpeas, ragi, guava, maize, rice, barley, sorghum, hulled grains and flour (wheat, maize, rice, millet, etc.), potatoes, onions, peas, beans, kheer, mushrooms, legumes, frozen vegetables, oranges, Grapes, lemons and strawberries will not be allowed in the Indian market. Additionally, mixed canned vegetables will also not be allowed in the Indian market.
In addition, dairy products including liquid, powdered, and condensed milk, cream, curd, buttermilk, butter, ghee, butter oil, cheese, whey products and paneer will also be prohibited from entering the Indian market. Apart from dairy and agricultural products, certain spices will also be banned from entering the Indian market. These include black pepper, cloves, dry green chilies, cinnamon, coriander, cumin, asafoetida, ginger, turmeric, carom seeds, fenugreek, star anise, cassia, mustard seeds, mustard seeds, scallions and other powdered spices. Aircraft parts will be exempted under US Section 232. The US will further reduce or eliminate tariffs on many goods, including generic drugs, gemstones, diamonds and aircraft parts.
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