India's Agricultural Independence at Stake: Global Trade Considerations

The Global Trade Research Initiative advises India to keep its agricultural tariff policies firm amid trade talks with the US, warning of risks to food security due to subsidized US farm goods. India must protect its farmers and respond to global challenges without undermining local agriculture.

Amid ongoing trade negotiations between India and the United States, the Global Trade Research Initiative (GTRI) has urged India to maintain its current agricultural tariff policies. The think tank warns that reducing import duties on American farm goods could jeopardize India's food security by allowing cheap, heavily subsidized US imports to flood the market.

Historical instances have shown how volatile grain prices can devastate regions, and a similar scenario could play out in India if tariffs are removed, according to GTRI. Indian farmers could face significant challenges due to unfair competition from subsidized US products like rice, dairy, and genetically modified foods. Particularly concerning are the restrictions around dairy imports, which could threaten the livelihoods of millions of small producers across the nation.

The organization further highlights that US agricultural exports benefit greatly from substantial subsidies, putting Indian producers at a disadvantage. Therefore, the GTRI emphasizes the necessity for India to retain tariff flexibility to protect its agricultural sector, ensure rural livelihoods, and maintain sovereign food security policies in a geopolitically unstable world.

(With inputs from agencies.)