By Admin 
India-US Trade Deal: Recently, US President Donald Trump had threatened to impose tariffs of up to 500 percent on countries purchasing crude oil from Russia. India has also been among the major countries buying cheaper crude oil from Russia, due to which New Delhi’s concern had increased after this statement. However, now India has reduced the purchase of oil from Moscow to a great extent and considering the current situation, the threat of imposing 500 percent tariff on India seems to be almost over.
In fact, the biggest reason for this is believed to be the early completion of the long pending trade deal between India and America.
Will India-US trade deal happen soon?
Commerce Secretary Rajesh Aggarwal said on Thursday that talks regarding trade agreement between India and America are continuing. He also clarified that despite high tariffs, India’s exports to America are registering positive growth.
Addressing the press, Aggarwal said that both sides are negotiating a trade agreement and both feel that an agreement in some form or the other is possible. He told that in December last year, an important meeting had also taken place between Commerce and Industry Minister Piyush Goyal and US Trade Representative Jameson Greer through digital medium.
On which issues was the deal stuck?
Talks on trade agreement between India and America have been going on for a long time, but till now it has not reached any concrete result. The main reason for this is that India is not in favor of opening the agriculture and dairy sector to foreign competition. At present America has imposed a total tariff of 50 percent on India.
This includes 25 percent base tariff, while an additional 25 percent tariff has been imposed due to buying cheaper crude oil from Russia. Apart from this, America has also announced to impose 25 percent additional tariff on countries doing business with Iran, which further increased India’s concern.
New hope increased from the statement
However, after the latest statement of the Commerce Secretary, the indication has become clear that the ice between the two countries may melt. In case of agreement on the trade deal, not only will the threat of additional tariffs on India be averted, but the economic relations between the two countries can also get a new strength.
Experts believe that in the current global situation, both India and America do not want to lose each other as strategic and economic partners, hence sealing the trade deal is now only a question of time.
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