Feb 7 • 17:33 UTC 🇮🇳 India Aaj Tak (Hindi)

Know the Framework of India-US Trade Deal and Its Benefits

A framework for the trade deal between India and the United States has been revealed, expected to be finalized by mid-March.

A newly announced framework for a trade deal between India and the United States is set to be completed by mid-March. This agreement is projected to result in the creation of eleven more Free Trade Agreements (FTAs) in addition to the existing eight FTAs that India holds. While the opposition has voiced concerns that the agricultural sector will be completely liberalized as a result of this deal, it has been clarified that essential food commodities such as rice, corn, and millet will remain protected from liberalization.

The negotiations surrounding this trade deal aim to bolster the economic relations between India and the United States, enhancing trade flows and potentially leading to greater investment opportunities. By interpreting the framework's implications, stakeholders are expected to assess the benefits that could emerge from increased market access and reduced tariffs on various goods. This trade engagement may also serve as a pivotal point in aligning India’s economic policies more closely with its strategic partner, the US.

Furthermore, the scrutiny by the opposition regarding agricultural provisions highlights the ongoing debate around food security and self-sufficiency in India. The government maintains that safeguards on vital food items are intended to protect farmers and consumers alike, indicating its commitment to balancing trade liberalization with national interests. Policymakers and analysts will be closely monitoring the developments and the finalization of this trade deal to evaluate its broader impact on India’s economy and international relations.

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