'India-US interim trade framework safeguards farmers, MSMEs,' says Commerce Minister Piyush Goyal

Commerce Minister Piyush Goyal during press briefing on Saturday

• India-US interim trade deal expands exports, protects farmers and MSMEs
• No duty concessions given on dairy, sugar, millets; sensitive items excluded
• US grants zero duty access to Indian gems, pharma, and agri exports

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Union Commerce and Industry Minister Piyush Goyal on Saturday said the interim trade framework with the United States has been designed to expand export opportunities for Indian businesses while ensuring that the interests of farmers, MSMEs, handicrafts and handlooms remain fully protected.

'No harm to agriculture, MSMEs'

Addressing a press conference in New Delhi on Saturday, the minister rejected opposition allegations that the agreement compromises the farm and MSMEs sector. “India has not given any duty concessions on any dairy product, sugar, millets to US,” Goyal said, adding that the pact would not hurt “interests of farmers, MSMEs, handicraft, handlooms in any way.”

He accused some political voices of deliberately spreading confusion. “There are some people in this country who try to mislead farmers. They are surprised that no concessions have been given on agricultural products under the India-US agreement,” he said, underlining that no step had been taken that would damage farmers’ interests.

Export gains with safeguards

According to Goyal, the framework balances export growth with domestic protection. “This agreement provides export benefits to multiple sectors and, at the same time, safeguards and protects our farming sector. These twin objectives have been achieved,” he said, thanking Prime Minister Narendra Modi for his leadership.

He said several Indian exports would enjoy zero duty access to the US market. These include gems and diamonds, pharmaceutical products and smartphones, which will continue to attract 0% duty. He added that a number of agricultural exports would see duties reduced from 50% to zero, such as spices, tea, coffee, copra, coconuts and coconut oil, vegetable oil, areca nut, Brazil nuts, cashew nuts, chestnuts, and fruits and vegetables including avocados, bananas, guavas, mangoes, kiwis, papaya and mushrooms, besides barley and some processed foods.

Sensitive items excluded

On safeguards, the minister said, “We have not included any item where any Indian farmer will be hurt. All sensitive items have been kept out of the deal.”

He stressed that “No GM (genetically modified) items will enter India,” and that there would be no relief on meat, poultry, dairy, soybean, maize, rice, wheat, sugar, millets, several fruits, pulses, oilseeds, ethanol and tobacco.

Opposition criticism and response

Opposition leaders from the Congress and the Aam Aadmi Party (AAP) raised concerns, with Congress Member of Parliament (MP) Jairam Ramesh warning about competition from subsidised US farmers, and AAP MP Sanjay Singh criticising the broader trade approach.

Responding to demands for a parliamentary debate, Goyal said, “What should or should not be done in Parliament will be decided by the Speaker and the Chairman. Not every issue can be discussed in Parliament; some matters need to be communicated directly to the people of the country.”

US-India interim trade framework

India and the United States have announced a framework for an interim deal that will reduce reciprocal US tariffs on Indian goods to 18%, with both sides committing to move toward a comprehensive bilateral trade agreement.