New Delhi has emerged victorious in safeguarding its most sensitive economic sectors during negotiations for a landmark trade agreement with the United States. Commerce and Industry Minister Piyush Goyal announced in Parliament that India successfully protected its agriculture and dairy industries, ensuring their interests remain intact amid the bilateral pact.
The minister highlighted the intensive discussions that followed Prime Minister Narendra Modi’s visit to the US in February 2025. ‘Both nations pursued a balanced and mutually beneficial trade deal through sustained talks,’ Goyal stated, emphasizing the year-long negotiations that culminated in a finalized agreement.
Key to the success was India’s firm stance on protecting vulnerable areas. ‘Our negotiators ensured that agriculture and dairy sectors, critical to millions of farmers, were shielded from unfavorable terms,’ he added. This approach prevented potential market floods that could have harmed domestic producers.
A pivotal moment came on February 2, 2026, when PM Modi and US President Donald Trump held a telephonic conversation covering bilateral trade and global issues. Following this, the US slashed tariffs on Indian exports to 18 percent—a rate lower than those imposed on several competing nations.
This tariff reduction dramatically boosts the competitiveness of Indian goods in the American market. Goyal noted that the deal opens new doors for MSMEs, entrepreneurs, skilled workers, and industries. It guarantees access to advanced technologies, aligning perfectly with India’s ‘Make in India, Design in India, Innovate in India’ vision.
The agreement is more than economic; it’s a cornerstone for stronger India-US ties. Goyal described it as a historic step propelling India towards its Developed India 2047 goal, fostering innovation and global leadership.