Union Commerce Minister Piyush Goyal on Saturday hailed the framework announced under the India-US trade agreement. Under the trade deal between the two grand economies, several American products will face zero tariffs in India, Goyal told a press briefing.
He said several products, including alcoholic beverages, cosmetics, and medical devices will face zero tariffs.
“When these products come, there will be competition, the consumers will get good quality products, the product will remain cheap and there will be efficiency in the market,” said Goyal in the press conference.
India will get duty-free access for certain automobile and aircraft parts in the US under the India-US trade pact, Goyal added.
Here’s a list:
- Distillers Dried Grains with Solubles (DDGS) used in animal husbandry
- Wines, spirits and other alcoholic beverages
- Select medicines, including some cancer drugs
- Some cosmetic items
- Certain organic and inorganic chemicals
- Computer-related products
- Some medical devices such microscopes
Goyal added that a minimum import price has been set for these products to balance trade while protecting domestic interests.
Zero duty on Indian good to US
Goyal also said, “There are several items on which zero duty will now be levied when our exporters send goods to the United States of America. For example, zero duty will be applied to gems and diamonds. Pharmaceutical products, which are exported from India in large quantities, will also be subject to zero duty. Smartphones, which are exported from India to the US in large numbers, will continue to have zero duty. In this way, there are numerous such items on which zero duty will be levied in the future.”
“In the agricultural sector as well, there are many items that will be exported from India to the US on which a zero reciprocal tariff will be applied, meaning the additional duty will be zero. For example, spices, tea, coffee and products made from them, coconut and coconut oil, vegetable wax, areca nut, Brazil nut, cashew nut, and chestnut. Many fruits and vegetables are also included,” he added.