New Delhi is buzzing with optimism as experts hail the landmark US-India trade deal for slashing tariffs on Indian exports from 50% to just 18%. This move is set to supercharge the textile industry, providing a much-needed lifeline amid global competition.
J Selvaraj, General Secretary of the Southern India Mills Association (SIMA), described the tariff reduction as a game-changer. ‘This new rate is the lowest among competitive exporting nations, significantly enhancing India’s global edge,’ he told reporters. The deal comes on the heels of recent pacts with the UK and EU, plus the Union Budget 2026-27, all injecting fresh confidence into the sector.
Agricultural economist Dr. RS Ghuman emphasized the broader impact. With tariffs down to 18%, bilateral trade volumes are poised to surge, spurring economic activity nationwide. ‘This is a pivotal agreement, but we must now prioritize product quality to sustain gains,’ he noted. Notably, India has safeguarded its dairy and agricultural products from the deal’s scope.
Ravi Sam, Vice Chairman of the Cotton Textile Export Promotion Council (TECPROCIL), pointed to the relief from earlier punishing US tariffs that had eroded manufacturer margins. ‘The industry can now breathe easier with this 18% cap,’ he said.
Foreign trade expert and CA Sanjay M Dhariwal sees ripple effects across sectors. ‘Textiles and agriculture benefit directly from lower tariffs, while IT and pharma gain from overall trade stability.’ As negotiations wrap up, stakeholders are gearing up for a more robust export landscape, promising jobs and growth for millions.