US delegation set to visit India on August 25 to carry over talks proposing bilateral trade agreement
US delegation set to visit India on August 25 to carry over talks proposing bilateral trade agreement
Digital Desk: The sixth round of negotiations on the proposed bilateral trade agreement is set to begin on August 25, according to PTI, with a US delegation traveling to India.
It is to be mentioned that the fifth round of talks came to an end in Washington last week. Although progress has been slower than anticipated, officials from both nations are making an effort to advance a proposed bilateral trade agreement.
The US team will visit India next month to continue negotiations, a government official confirmed Monday.
Both parties are under pressure to come to an agreement because the US plans to increase some tariffs starting on August 1. A complete agreement, though, still appears to be a ways off.
More rounds of negotiations will be required, US Trade Representative Jamieson Greer told CNBC.
In response to the discussions, India is requesting that the US lower the high tariffs on Indian steel and aluminum products, which are currently subject to up to 50% tariffs, and remove the proposed 26% additional tariff.
Along with better access to the US market for its labor-intensive industries like textiles, leather, gems and jewelry, clothing, and agricultural products like bananas and grapes, India also wants lower taxes on auto parts.
Conversely, the United States is advocating for reduced tariffs on its electric cars, dairy products, wines, apples, tree nuts, industrial goods, and genetically modified crops.
India has, however, been adamant about not reducing tariffs on dairy and agricultural products, and some farmer organizations have urged the government to exclude agriculture entirely from the agreement.
For the time being, all eyes are on the August negotiations as both parties look for areas of agreement.
