India, US Close In on Trade Pact; Piyush Goyal Says Bulk of Talks Done
New Delhi, October 27: The White House has called the India-US trade deal talks 'positive', even as Commerce and Industry Minister Piyush Goyal said that a large share of the issues has been settled and the final text of the agreement is being refined.
White House spokesperson Matthew Middleton, responding to queries, said the Trump administration was working constructively with Indian officials to secure a landmark trade deal that serves American priorities.
He also said that President Donald Trump and Prime Minister Narendra Modi enjoy a close personal rapport and are committed to deepening bilateral ties.
Goyal's comments came at the India-Netherlands Business Forum in The Hague. He told the gathering that most of the trade talks between India and the United States were complete.
Goyal is leading part of an Indian trade delegation visiting Germany and the Netherlands. He added that India had signed nine free trade agreements in the past four and a half years.
How the talks reached this stage
The two countries announced a framework for the first tranche of a bilateral trade agreement in February. Under the February 7 declaration, the United States had said it would lower tariffs on Indian products from 50 percent to 18 percent. Changes in US tariff policy since then, including conditions arising after a US Supreme Court verdict on tariffs, made another round of negotiations necessary.
A series of engagements
Several top-level interactions have taken place in recent months. On October 1, Goyal met US Trade Representative Jamieson Greer during a G20 trade ministers' meeting in Milwaukee. Later, a team of Indian officials led by Commerce Secretary Rajesh Agrawal held discussions with American officials in Washington from October 15 to 17.
On October 20, during his Mumbai visit, US Secretary of State Marco Rubio also suggested that both countries were very close to an agreement. He told reporters, 'A few issues remain to finalise the deal, and we expect them to be resolved soon.'
Rubio further noted that the US State Department does not negotiate trade deals directly but plays a significant part in the overall process.
What is at stake
The trade talks are being closely watched by business communities in both nations. The US wants India to boost purchases from America across sectors, including energy products and technology. Indian exporters, meanwhile, are looking for relief from American tariffs.
India has stated its intention to buy energy products, aircraft and aircraft parts, precious metals, technology products and coking coal from the US worth 500 billion dollars over the next five years.
America is India's largest trading partner.