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India, US likely to ink first tranche of trade pact before Fall deadline

IANS
Updated: April 15th, 2025, 17:53 IST
in Business, Home News
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New Delhi: India and US are working to sign the first tranche of a Bilateral Trade Agreement (BTA) to bring down tariffs before the agreed timeline of the Fall of 2025 as the terms of reference for the pact have already been finalised.

“India and US Bilateral Trade Agreement (BTA) terms of reference have been finalised when the US team was here. The first tranche negotiations will start virtually on the various chapters within this week, and the talks in the physical mode may start at the end of the month,” Additional Secretary, Commerce, Rajesh Agarwal said Tuesday.

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“India has decided to go for a path of trade liberalisation with the US,” Commerce Secretary Sunil Barthwal told journalists.

He said both India and the US would benefit if the trade deal is wrapped up before the Fall of 2025.

“When we said we want to do a first tranche of BTA with the US by fall, that doesn’t mean we can’t do it before fall. If we end up doing the BTA before fall, then it will be good for both India and the US,” he added.

If both the countries come to an agreement on reducing tariffs, it would lead to higher trade for US and India. The 90 day pause is not country specific, it is for everyone.

US President Donald Trump paused the implementation of steeper duties for several nations, including India, April 9.

Meanwhile, Commerce Minister Piyush Goyal told journalists last week that “very good negotiations” with the US were underway.

He said that India presents a compelling case to the United States for a bilateral trade deal, given the outlook on growth and demography.

“Looking at the growth, India offers in the next 25-30 years with a large, aspirational, young population who will add to the demand for goods and services, we believe India will be a compelling case to enter into a good agreement with the US,” Goyal said at a press conference.

Prime Minister Narendra Modi and US President Trump have set an ambitious target of $500 billion bilateral trade by 2030 in a joint statement during the Indian PM’s visit to Washington.

IANS

Tags: BusinessIndiaTradeUS
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