- India and the US are set to sign a trade agreement next week, sources told NDTV
- US tariffs on Indian exports will reduce from 50% to 18%, aiding labor-intensive sectors
- Sensitive Indian sectors like agriculture and dairy are fully protected in the deal, says Goyal
India and the United States will likely sign a trade agreement announced by Prime Minister Narendra Modi and President Donald Trump next week, NDTV reported on Thursday, quoting sources. Senior US officials will visit India for the signing event and details of the agreement will be shared afterward, they said.
India's sensitive and protected sectors like agriculture, dairy, and fisheries have been fully taken into account, Commerce Minister Piyush Goyal told Parliament on Wednesday. US tariffs on a wide range of Indian exports will be reduced from 50% to 18%, providing relief to several labour-intensive and export-oriented sectors and bringing it at a competitive level with Southeast Asian exporters. The two sides have been locked in negotiations since early 2025.
External Affairs Minister S Jaishankar is currently in Washington and has already met US Secretary of State Marco Rubio and Treasury Secretary Scott Bessent. Speaking on the sidelines of the Critical Minerals Ministerial earlier today, Jaishankar clarified that the trade talks are being directly handled by Goyal, with formal engagement ongoing with the US Trade Representative. "It is hard for me to say [the timeline], and the Commerce Minister would know it better, because he is in direct engagement," Jaishankar said, adding that a joint statement outlining the tenets of the agreement is expected soon.
Opposition MPs in Parliament have raised concerns over the lack of details regarding the trade deal which could open up India's protected agriculture and allied sector to US producers. President Donald Trump first announced the agreement via social media late Monday. The two countries are yet to publish a detailed statement on the trade deal, along with the timeline for the implementation of its framework.
White House Press Secretary Karoline Leavitt has said India committed to not only stop purchasing Russian oil to clinch the deal, but buy energy from the US and Venezuela. "PM Modi committed to an investment of $500 billion into the United States, including energy, transportation and agricultural products," she said.
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