'Best deal' protects agri interests: Goyal

CALLING THE INDIA-US trade agreement "a historic turning point," Commerce Minister Piyush Goyal on Tuesday said it would unleash tremendous opportunities for the Indian industry, especially the small and medium enterprises and labour-intensive units.

- MUKESH JAGOTA

"The agreement protects the interests of our agriculture and dairy sectors in full respect, while opening up huge opportunities for the labour-intensive sectors," he said, discounting fears that some compromises might have been made with respect to these sensitive areas.

"This is the best deal India has received. It is a deal for all of us, bringing positive signals for the bright future of our citizens," Goyal said.

The slashing of the additional US tariff from 50% to 18%, which would put India at a relative advantage over key Asian competitors, would take effect immediately after a joint statement is issued by both sides in 2-3 days, the minister said. This is even as implementation of the full agreement would take some more time, as the legal texts are required to be ratified.

The tariff cut under the deal might take India's economic growth in 2026-27 closer to 7.4%, the estimated level for the current year, Chief Economic Adviser V Anantha Nageswaran said.

THIS IMPLIES INCREMENTAL growth of around 20-30 basis points over the Economic Survey 2025-26 forecast of 6.87.2% for the next financial year.

US Trade Representative Jamieson Greer said under the deal, India's industrial tariffs will go to zero from 13.5%.