Ready to protect farmers at any cost: PM as US ups tariff

India will make no compromise against the interests of its farmers, Prime Minister Narendra Modi said on Thursday, adding he was “personally” ready to pay any price for it in remarks that came against the backdrop of US President Donald Trump's decision to clamp steep tariffs on Indian exports to the US.

- Zia Haq

Addressing an event in New Delhi, Modi made it clear that India would continue protecting the agriculture sector, which accounts for nearly 18% of the country’s gross domestic product and employs millions of small cultivators owning mostly tiny land parcels, who also form a large and sensitive political bloc.

India’s vast protections for its agricultural sector and apparent reluctance to open it up to mega American farm companies were seen to be one of the bigger hurdles in protracted trade negotiations between the world’s largest and fifth-largest economies.

“The interests of our farmers are our topmost priority. India will never compromise with the interests of its farmers, its cattle-rearers and fisherfolk,” Modi said at an event in New Delhi to commemorate the centenary birth anniversary of MS Swami-nathan, the architect of India’s green revolution.

"I know I'll have to pay a big price for this personally but I'm prepared. India today is prepared to protect its farming community at any cost," Modi added.

His comments came a day after Trump signed an executive order imposing an additional 25% tariff on all Indian goods entering the US, making good on his threat to penalise New Delhi's continued purchases of Russian oil. The additional 25%, due to take effect on August 27, puts India at par with Brazil as the two countries whose exports will face the highest levy of 50% on their goods.