India-US BTA: Apparel Exporters Chief Expects Tariff Relief As Part Of Interim Trade Deal

India's apparel exporters are optimistic about gaining early benefits from the proposed India–US interim trade deal, likely to be announced on July 8, according to Apparel Export Promotion Council (AEPC) Chairman Sudhir Sekhri.

Speaking to NDTV Profit, Sekhri said the sector is hopeful that tariff reductions for garments will be included in the first tranche of the agreement.

“Minister Piyush Goyal has assured us that labour-intensive sectors like apparel will be kept in mind while finalising the deal,” Sekhri said. He added that while the apparel sector includes a large number of tariff lines, even partial inclusion in the first phase would be a welcome start.

The sector has long demanded tariff parity with competing countries like Bangladesh and Vietnam, which enjoy lower or zero duties under their trade agreements with the US. A reduction in duties could significantly boost India’s apparel exports to the US, which is one of its largest markets, and help regain market share lost in recent years.

The interim deal is being seen as a stepping stone toward the larger target of achieving $500 billion in bilateral trade by 2030. Apparel is among the sectors best positioned to benefit from early tariff relief.