India's farm, trade sectors anxious over US tariff and duties decisions

Amid uncertainty over tariffs and duties on agricultural products between India and the US, traders and exporters are closely watching the ongoing visit of the Commerce Minister to the US for clarity on tariffs, bilateral trade, and other contentious issues.  Among the commodities under discussion — especially after the US imposed tariffs on China — is soybean oil, with hopes of increased imports from the US. However, trade sources noted that India currently imports only a fraction of its annual requirement of 4 million tonnes of soybean oil from the US, where prices are $40-$50 per tonne higher than those of Argentina and Brazil, its closest competitors.  In the garments sector, India imposes around a 35 per cent duty on imports, while US tariffs range from 10 per cent to 32 per cent, depending on the product. “We are mostly present in the mid-segment of the garments and textiles space, while the US market is focused on high-end products. Therefore, I don’t think there is any major threat,” a senior industry official explained. Other officials also pointed out that not all might be lost for India, as any lowering of tariffs could also open doors for Indian exports to the US.