India-US trade agreement slashes duties on key exports, boosts labor-intensive sectors

The India-US trade deal exempts Indian dairy and “sensitive” agriculture items from its ambit, provides for zero-duty access to over $40 billion worth of Indian goods, and reduces customs duties on labor-intensive Indian merchandise such as textiles, leather goods, marine products, chemicals, and certain agricultural items, including processed food, to 18% from day-one, people aware of the development said on Tuesday. Elaborating upon the basic contours of the deal announced by President Donald Trump on Monday, the people cited above said the 25% punitive tariff imposed on Indian goods for purchasing Russian oil will be removed in a couple of…