Union Commerce and Industry Minister Piyush Goyal said on Friday that India and the US have completed negotiations for their free trade agreement, with both sides now working on finalising the first tranche of the bilateral pact.
Goyal said India is awaiting the framework from the United States that would allow preferential tariffs for Indian exports, particularly amid ongoing uncertainty surrounding US tariff policies.
“As I've often mentioned to you, we have closed the negotiations on the India-US free trade agreement,” Goyal said.
He explained that the first tranche would include an initial set of proposals agreed upon by both countries, although some details were still being fine-tuned.
“The critical aspect is that any trade agreement has to provide preferential access in order for it to be attractive,” Goyal said.
“Given the uncertainties on tariffs in the United States, we are waiting for the US to provide the necessary framework under which India will get a preferential tariff for our exports to the US,” he added.
Goyal said India wants its exporters to face lower tariffs than those imposed on competing countries.
“It should be lower than all our competitor countries,” he said, adding that both India and the US agree on this point and remain in regular discussions.
The minister also said he had recently spoken with his US counterpart and that both countries were committed to finalising a “very fair, equitable, and balanced” first tranche of the bilateral trade agreement.
‘WE NEVER NEGOTIATE WITH DEADLINE’
Goyal stressed that India would not hurry the negotiations simply to meet an artificial deadline.
“We never negotiate with a deadline until we get the best deal for our farmers, fishermen, MSMEs, startups, women entrepreneurs, for our youth,” he said.
His comments come as uncertainty continues over US tariffs and the timeline for completing the first tranche of the India-US trade agreement.
Goyal said India would continue to safeguard the interests of domestic sectors while seeking a trade deal that delivers mutual benefits for both countries.
