Tea, coffee, spices: The Indian products Trump has exempted from 50% tariffs

Trump exempts key Indian exports

In August 2025, the US imposed retaliatory “reciprocal” import duties of up to 50 percent on a wide range of Indian goods after India continued substantial purchases of Russian oil. Sectors like textiles, jewellery, leather goods and seafood were hit hard. However, by November 2025 the US administration announced exemptions for more than 200 food, farm and agricultural products from the punitive tariffs — raising hopes for Indian exporters.

The exempted items include Indian exports of:

• Coffee and tea.

• Spices such as turmeric, ginger, cinnamon, cardamom and cumin.

• Cashew nuts and other tree nuts.

• Tropical and certain niche fruits and fruit-preparations, fruit juices and pulp, though India’s share here is small.

According to the Federation of Indian Export Organisations (FIEO), these exemptions might benefit Indian exports worth about $2.5-3 billion. The move is also viewed as a positive signal in ongoing US-India trade talks.

That said, important caveats apply. Indian shipments of shrimp, basmati rice, apparel, gems and jewellery are not among the exempted items and therefore remain subject to the full tariff hikes. Moreover, analysts note that India’s presence in many of the newly exempt categories (for example fresh fruit, citrus, bananas) is modest, limiting the immediate benefit.

Why these exemptions and what they signal

The US cited rising cost-of-living pressures at home and the need to keep certain consumer-facing farm and food imports more affordable when it announced the rollback of tariffs on select items. For Indian exporters, the tariff relief offers a chance to recover some lost US market share after September’s sharp export decline.

However, exporters warn that relief may be partial. Many of the high-volume Indian exports remain under punitive duty, and recovery will also depend on logistical costs, compliance standards and competition from countries like Vietnam.

What happens next?

With US-India trade talks underway, these exemptions may act as a stepping stone toward broader agreement. For Indian exporters of tea, coffee, spices and nuts the opportunity exists — but they will still need to navigate global competition and scale constraints. The exemptions do not erase the earlier tariff shock, but they do offer a narrow window of relief for certain agricultural goods.