The sixth round of negotiations aimed at finalizing the proposed India-US bilateral trade agreement (BTA) has been postponed, according to government sources. The US trade delegation was expected to visit India between August 25 and 29, but officials conveyed that they were unable to attend, leading both sides to agree on rescheduling the talks.
The postponement comes as the deadline approaches for implementing US President Donald Trump’s decision to impose 50% tariffs on imports from India, set to take effect on August 27. The development adds complexity to ongoing trade discussions that began in March, with an initial goal of concluding the first phase of the agreement by late this year.
Earlier efforts to secure a “mini” trade deal between the two countries did not succeed, partly due to US requests for reduced duties on agricultural and dairy products, which India declined. India has maintained its position against the import of genetically modified foods, with Prime Minister Narendra Modi recently reaffirming in his Independence Day address that the government would not compromise on issues concerning farmers, cattle-rearers, and fishermen.
India’s Ministry of Commerce and Industry is currently reviewing the situation and consulting stakeholders to assess potential implications. Sectors expected to be most affected by the tariffs include mobile phones, polished gemstones, textiles, and pharmaceuticals—key exports from India to the US. Labor-intensive industries, particularly textiles, are projected to face significant challenges.
Following a meeting with leading textile exporters, Union Textile Minister Giriraj Singh emphasized the importance of supporting affected industries. He said exporters had expressed confidence in exploring alternative markets and called for measures such as financial assistance and relief packages to mitigate the expected impact.
The Ministry noted that several virtual meetings between the two delegations have already taken place and that efforts remain underway to advance discussions toward a comprehensive agreement.
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