ARTICALS 4 #Export

Now that the India-UK Comprehensive Economic and Trade Agreement (CETA) has been sealed, the focus shifts to the more challenging deal with the US. A major stumbling block to inking even an interim free trade agreement before US President Donald Trump’s August 1 deadline — to either sign or face so-called reciprocal tariffs of up to 26 per cent — is agriculture. India does not want to open up its market for American soyabean, corn (maize), ethanol and dairy products. What this defensive stance misses is the potential loss from the fact that India’s agricultural exports to the US, at $6.2 billion in 2024, exceeded its imports of $2.4 billion. A 26 per cent tariff will definitely hurt Indian seafood exports to the US that alone was valued at $2.5 billion.

The pace of rainfall has slackened in the past few weeks, even as the season-to-date numbers have remained in surplus. The sowing of pulses and coarse cereals continues to lag while reservoir storage levels have climbed to historical highs.