New Delhi, June 9, 2025
Union Agriculture Minister Shivraj Singh Chouhan today affirmed India’s unwavering commitment to safeguarding the interests of its farmers amidst ongoing trade negotiations with the United States. Speaking on the sensitive issue of agricultural market access, Minister Chouhan stated unequivocally that any potential bilateral trade agreement would be finalized only after a meticulous assessment of its gains and losses, with farmer protection as the paramount consideration.
The Minister’s remarks come as negotiators from both nations work towards establishing the framework for the first phase of a bilateral deal, anticipated to be signed by September-October 2025. The United States has been actively pushing for greater market access for its agricultural and horticultural products, including key commodities like corn, soybeans, and animal feed. However, these efforts face significant hurdles due to India’s comparatively high agricultural tariffs, which can range from 39% to 50% on average.
Minister Chouhan underscored that while discussions with the US are ongoing, the fundamental principle guiding India’s stance remains clear: “One thing is clear, we will protect the interest of our farmers. When we talk about two nations, we need to see the overall trade.” This pragmatic approach acknowledges the broader economic relationship while prioritizing the livelihoods of India’s vast rural populace.
According to a report from NITI Aayog, “Promoting India-US Agricultural Trade under the new US Trade Regime,” the agricultural trade balance currently favors India. In the triennium ending 2024, US agricultural and allied product exports to India stood at approximately $2.22 billion, while India’s agricultural exports to the US were significantly higher, at $5.75 billion. India’s main agricultural exports to the US include valuable commodities such as frozen shrimp, basmati rice, spices, and processed cereals.
India’s cautious approach to fully opening its agriculture and dairy markets stems from legitimate concerns about potential backlash from rural communities and the imperative to shield domestic producers from the volatility of global prices. The government aims to strike a balance that fosters international trade while ensuring the stability and prosperity of its agricultural sector, which remains the backbone of its economy and a crucial source of employment.