India has offered tariff cuts on imports of U.S. farm products like almonds and cranberries as a further concession to the United States, two government sources said, hoping to avert President Donald Trump's reciprocal tariffs set for next week.
Unlike China, Canada and the European Union, India is actively seeking to appease the Trump administration and is open to cutting tariffs on over half of U.S. imports worth $23 billion, Reuters reported earlier this week.
In a series of meeting in New Delhi with Brendan Lynch, the assistant U.S. trade representative for South and Central Asia, India agreed to cut tariffs on bourbon whiskey and agricultural products such as almonds, walnuts, cranberries, pistachios and lentils, one of the sources familiar with discussions, said.
The talks to fast-track negotiations is likely to conclude late Friday.
Trade talks are "progressing well" and the bilateral trade pact, still in progress, will benefit both nations, Indian Trade Minister Piyush Goyal said on Thursday.
"Securing a favourable deal is a priority for Indian negotiators," a second government source said, adding that India has aligned its offers with U.S. priorities, particularly in the agriculture industry and some other sectors.
Both sources spoke on condition of anonymity due to the sensitivity of the talks.
India's trade ministry didn't respond to email request for comment, while the U.S. embassy spokesperson in New Delhi said: "We don't have anything to share on private diplomatic discussions."
India lowered duties for bourbon whiskey to 100% from 150% last month. Import duties range from 30% to 100% on agricultural products like cranberries, almonds, walnuts, and around 10% on lentils.
However, there is still resistance in government circles to lowering tariffs for dairy products, rice, wheat and maize, the source said, adding India is seeking greater market access for shipments of fruits like pomegranates and grapes besides rice to the U.S. market.
The negotiators are expected to agree on the framework for the broad contours of the first phase of the bilateral deal, expected to be signed by fall 2025, the sources said.
In 2024, exports of U.S. agriculture and allied products to India totalled nearly $2 billion, including $452 million in alcoholic beverages and $1.3 billion in fruits and vegetables while India's exports to the U.S. stood at about $5.5 billion.
Source Name : Economic Times