NEW DELHI: Govt is going to be patient and seek to protect its interests in the proposed trade deal with the US, amid suggestions from other countries to work on bilateral pacts to beat the impact of Trump's tariffs .
"We will ensure the deal is balanced and a win-win for both sides. We already have an advantage over others because our talks with the US started earlier as there were indications reciprocal tariffs were going to be announced," a senior govt official said, adding India was not keen to rush with an agreement.
Donald Trump's trade tariffs - follow live updates
The official indicated that govt intends to hold its ground in several of the sensitive sectors despite the US putting massive pressure on India to slash tariffs. "Like us, they also have sensitivities in sectors like peanut butter," the source said.
US commerce secretary Howard Lutnick recently said agriculture cannot be off the table and India could look at quotas and limits. It is still early days in the trade talks with only the modalities having been discussed, and the USTR team that came to India will confirm terms of reference for the engagement.
Following the announcement of tariffs earlier this week, India has been in touch with several countries but has limited capacity to negotiate trade agreements given that talks for seven are already under way, which includes those with the UK, the EU, Oman, Australia, New Zealand and Chile. Bahrain and Qatar are also said to be keen to discuss an FTA, and the one with Gulf Cooperation Council, which also includes Saudi Arabia, have moved slowly for the last few years.
While suggesting some of these countries are keen to speed up talks, the sources, however, ruled out partnering with the likes of Asean, with a part of the fear emanating from China's foothold in the region. The assessment in govt is that India is better placed as exporters may be able to absorb the higher burden compared with some Asian rivals which have been slapped with heftier levies.
While there will be impact in sectors like marine products, with Ecuador gaining an edge, sources said exporters can explore newer markets such as EU, where govt had managed to get the rules eased in recent months. They said if the US goes ahead with imposing higher tariffs on pharmaceuticals also, it will have a small impact on India.
Commerce ministry may assist exporters while also seeking to ensure countries such as China do not divert cheap and subsidised goods into the Indian market.
"We will ensure the deal is balanced and a win-win for both sides. We already have an advantage over others because our talks with the US started earlier as there were indications reciprocal tariffs were going to be announced," a senior govt official said, adding India was not keen to rush with an agreement.
Donald Trump's trade tariffs - follow live updates
The official indicated that govt intends to hold its ground in several of the sensitive sectors despite the US putting massive pressure on India to slash tariffs. "Like us, they also have sensitivities in sectors like peanut butter," the source said.
US commerce secretary Howard Lutnick recently said agriculture cannot be off the table and India could look at quotas and limits. It is still early days in the trade talks with only the modalities having been discussed, and the USTR team that came to India will confirm terms of reference for the engagement.
Following the announcement of tariffs earlier this week, India has been in touch with several countries but has limited capacity to negotiate trade agreements given that talks for seven are already under way, which includes those with the UK, the EU, Oman, Australia, New Zealand and Chile. Bahrain and Qatar are also said to be keen to discuss an FTA, and the one with Gulf Cooperation Council, which also includes Saudi Arabia, have moved slowly for the last few years.
While suggesting some of these countries are keen to speed up talks, the sources, however, ruled out partnering with the likes of Asean, with a part of the fear emanating from China's foothold in the region. The assessment in govt is that India is better placed as exporters may be able to absorb the higher burden compared with some Asian rivals which have been slapped with heftier levies.
While there will be impact in sectors like marine products, with Ecuador gaining an edge, sources said exporters can explore newer markets such as EU, where govt had managed to get the rules eased in recent months. They said if the US goes ahead with imposing higher tariffs on pharmaceuticals also, it will have a small impact on India.
Commerce ministry may assist exporters while also seeking to ensure countries such as China do not divert cheap and subsidised goods into the Indian market.
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