The United States is moving forward with trade negotiations with India, with US Trade Representative Jamieson Greer telling lawmakers that India has made “the best we’ve ever received as a country” in ongoing discussions, IANS reported. The talks focus on expanding American farmers’ access to Indian markets, especially for crops like grain sorghum and soy.
On Tuesday, US President Donald Trump threatened new tariffs on Indian rice. He cited concerns that India was dumping rice in the US market. Currently, the US has already imposed 50 per cent tariffs on India, the highest on any country.
US trade chief praises India’s ‘best offers ever’
Speaking at a Senate Appropriations subcommittee hearing on Tuesday, Greer said a US trade team is currently in New Delhi, discussing certain agricultural issues. He admitted that India is still cautious about some crops but said the latest proposals show a rare willingness to open up. “They’ve been quite forward-leaning,” he told senators, according to IANS.
Greer added that India could become “a viable alternative market” for American commodities, at a time when US farmers face inventories and fluctuating demand from China. “We have to find a way to manage that trade,” he said, according to IANS report.
Greer said talks with India are part of a global shift in US trade policy and that US diplomatic and trade efforts with India are further along than in previous administrations. “We’re opening market access all over the world in places like Southeast Asia and even in Europe,” he said. “These new openings, he argued, strengthen Washington’s hand with major partners such as India and help farmers secure “structural constant access.”
US-India trade deal: Beyond agriculture
Greer also spoke a bit about the ongoing discussions with India beyond crops, including tariffs and market access in other sectors. On zero-tariff commitments for civil aviation parts under the 1979 Aircraft Agreement, he said discussions are “fairly far advanced” and added that the US could extend similar treatment if India agrees to reciprocal access.
Committee Chair Jerry Moran also mentioned India as a potential buyer of ethanol made from US corn and soy. Greer didn’t give specifics but added that other countries, including the European Union, have opened markets to US ethanol and energy products, committing to purchases worth $750 billion over several years. While India is one of the fastest-growing markets for US exports, agriculture still faces tariffs and sanitary restrictions.
Earlier, Donald Trump’s comments created more uncertainty during trade negotiations that are already facing unusual delays. Speaking to the Indian Express, Prem Garg, President of the Indian Rice Exporters Federation (IREF), said that India’s rice exports follow WTO rules and bilateral guidelines. He added that India exports only basmati rice and its varieties to the US. Even with the 50% tariff, Indian farmers have not been affected because these exports are limited to ethnic basmati varieties.
Trump’s comments come while the US Supreme Court is reviewing whether he overstepped his powers under the International Emergency Economic Powers Act (IEEPA) to impose broad tariffs.
