There may be quick relief in the huge tariffs imposed on India by America. Chief Economic Advisor (CEA) V Anant Nageswaran hoped on Thursday that the resolution of the dispute with the US over high tariffs could be resolved in the next eight to ten weeks. The US had imposed an additional 25 percent tariff on Indian products from August 27 for the purchase of oil from Russia. With this, the total tariff in America on Indian products has increased to 50 percent.

The conversation continues behind the curtain- V Anant Nagswaran
Nageswaran said in a program organized by the Board of Industry, ‘Negotiations are going on between the two governments behind the screen. I estimate that the tariff imposed by the US on Indian goods will come out in the next eight to ten weeks. He further said-‘I believe that punitive fees will not be applicable after November 30’. However, he warned that the export of Indian things to America may decline in the event of tariff continuing.

The relationship between the two countries due to tariff
After US President Donald Trump’s tariff growth decision, the relationship between the two countries became tense for some time. However, after receiving favorable indications at the level of top leadership, the discussion about the trade agreement between the two countries has started again. Describing India as a low-middle-income aspiration economy, the Chief Economic Advisor said that in the first quarter of the current financial year, the actual GDP (GDP) increased at a rate of 7.8 percent. After the Kovid epidemic, India has registered a faster growth compared to many countries. He said that with the progress of manufacturing, service and agricultural sectors, strengthening of rural demand and improvement in urban demand will give the basis of economic growth in the next two years.

What Nageshwaran said on relief in GST rates?
Nagswaran said that the relief given in GST rates recently will increase additional income in the hands of consumers. The MSME sector has increased loans and large industry units are facing structural changes in debt distribution. He said that in the first quarter of the current financial year, the current account deficit of GDP was reduced to 0.2 percent and foreign exchange reserves are also healthy. He said, “Though the rupee is weakening against the dollar, but given the strength of the economy, I am sure that the rupee will maintain its value in the long run and it will also strengthen it.”

Nagswaran said that the priorities of the government include capital expenditure, encouragement of private investment and improvement in regulatory structure. He called upon the private sector to spend more on innovation and research. On the impact of AI on the Arthi system, he said that its impact is limited at present but there will be pressure on coding jobs. He said that in such a situation people will have to increase their skills.