South Africa tour of India 2019
Govt. Led By Modi Offers Dairy, Chicken Access To US In Bid For Elusive Trade Deal
India has offered the US partial access to its poultry and dairy markets in a bid for a limited trade deal during US President Trump's official visit to India, as per the resources.
India, the world's largest milk-producing country, has restricted dairy imports to protect the livelihoods of 8 crore rural households involved in the industry.
But PM Modi is trying to pull all the stops for the U.S. President's upcoming visit, aimed at rebuilding bonds between the world's largest democracies.
The US is India’s 2nd largest trade partner, and bilateral goods and services traded between the 2 countries climbed to a record of $142.6 billion in 2018.
India has offered to allow imports of US chicken legs, turkey, and produces such as blueberries and cherries, and has also offered to cut tariffs on chicken legs from 100% to 25%, though U.S. negotiators want that tariff cut to 10%.
The Modi government is opening up access to India's dairy market, but with a 5% tariff and quotas, the sources said. But dairy imports would need a certificate that they are not derived from animals that have consumed feeds that include blood meal, internal organs, or tissues of ruminants.
India has also offered to lower its 50% tariffs on very large motorcycles made by Harley-Davidson, this tax was a particular irritant for Trump and he labeled India the "tariff king.”
Trump's visit to India has raised hopes that he would restore some of the country's U.S. trade preferences.
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