Lagatar24 Desk
New Delhi: India and the United States have resumed trade negotiations after a pause triggered by Washington’s steep 50% tariffs on Indian goods last month. A visiting American team has offered concessions, dropping its earlier demand for sweeping access to India’s agricultural and dairy markets and instead proposing sales of niche cheese and US-grown corn.
Talks Resume After Tariff Row
Tuesday’s meeting in New Delhi marked the first in-person dialogue since the tariffs were imposed. It followed a recent shift in tone by President Donald Trump, who said negotiations to resolve trade barriers were underway. While US trade adviser Peter Navarro had claimed India was “finally coming to the table,” analysts suggest Washington’s move reflects pressure from struggling American farmers hurt by declining exports and an ongoing trade war with China.
Cheese, Corn And Political Sensitivities
US officials clarified they are not seeking to penetrate India’s mass dairy market but want to export premium cheeses such as blue-veined and powdered varieties, already imported from Europe at duties of 30–40%. They also urged India to consider buying US corn, although most of it is genetically modified — a sensitive issue ahead of Bihar elections, as India restricts GM imports. A potential compromise could see imports limited to ethanol production rather than human consumption.
Strategic And Economic Calculus
The shift comes as American farm incomes face pressure from falling prices and unsold crops. For Washington, easing tensions with India also supports geopolitical aims, positioning New Delhi as a counterweight to China. For India, accommodating limited imports may help secure tariff relief without undermining small farmers, paving the way for deeper trade cooperation.
