US India Trade Relations: Trade tension is increasing between India and America. Its direct impact has been seen on the stock market and currency. Exporters believe that to remove the ongoing trade tension between India and America, officials of both the countries should sit face to face and talk, so that a trade agreement can be reached which is beneficial for both the parties.
He says that the 50 percent duties imposed by the US on Indian products are already affecting bilateral trade and if these duties are increased further, there will be a serious negative impact on exports from Delhi to Washington.
demand for trade deal
President of Federation of Indian Export Organization (FIEO), the apex organization of exporters, S. C. Ralhan said that both sides should continue talks to find a solution. He stressed that the current deadlock can be broken only through dialogue. At the same time, an exporter associated with the leather sector said that America is a very important market for India and early conclusion of the trade agreement can give a new impetus to the country’s exports. He acknowledged that even though Indian companies are looking for new markets, America still remains a major and strategic market.
Another exporter from the engineering sector also stressed that the India-US bilateral trade agreement will prove helpful in reducing trade-related uncertainties and create a better environment for both investment and exports. Meanwhile, economic research institute Global Trade Research Initiative (GTRI) said that it would not be correct to consider the India-US trade standoff as merely the result of personal diplomacy.
impact on every sector
GTRI founder Ajay Srivastava said that behind this delay are difficult policy choices and deep disagreements, which the two countries have not yet fully resolved. He warned that if these issues were ignored, there could be a risk of undermining one of the world’s most important trading partnerships.
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