Sitharaman: ‘India is in active talks with America’, Finance Minister said – signing of the agreement possible by October

New Delhi| India is ‘‘actively negotiating trade agreements with the new US administration and is hopeful that the first phase of the bilateral trade agreement will be positively completed by September-October this year. Finance Minister Nirmala Sitharaman, who visited America, said this on Monday.

“We are one of the countries that are actively engaged with the new US administration to bring bilateral trade agreements to fruition”, Sitharaman said during talks with the Indian community in San Francisco Earlier this year, US President Donald Trump and Prime Minister Narendra Modi had agreed to begin talks for a bilateral trade agreement amid fears of Washington imposing reciprocal tariffs.

“The priority we have given to dialogue with the government here is in line with the talks we had during the Prime Minister’s visit to the US in February”, the Finance Minister said. Commerce and Trade Minister had come here. I’ve been here because I have to have a meeting with the IMF and the World Bank as well”

She said, “I am going to meet my counterpart the Finance Minister here”. We are eagerly negotiating with the US administration. Meanwhile, the US Vice President is also in India. Hopefully he’ll see the prime minister this evening or tomorrow” The US and India have aimed for a bilateral trade agreement (BTA), which is a kind of free trade agreement. Both have decided to complete the proposed BTA in two phases.

“Therefore, the essence of negotiations with the US is not just a reciprocal tariff issue”, he said. Rather, we need to compromise, given the interest of one of the largest trading partners. We are working towards that we sign the first phase of the agreement by autumn this year”

The U.S. president had announced on April 2 the imposition of comprehensive reciprocal tariffs (or import duties) on several countries, including India and China.

On 9 April, however, he announced a 90-day postponement of these tariffs until 9 July this year, except in China and Hong Kong. During this time, about 75 countries approached the US for trade deals. China is facing up to 245 percent duty on its goods entering the U.S.