Surat, Feb 8 (NationPress) The newly forged trade agreement between India and the United States has sparked a wave of optimism within the agriculture industry.

In light of this announcement, participants from South Gujarat expressed that it is anticipated to yield considerable advantages for both farmers and traders while safeguarding domestic interests.

Babubhai Shaikh, who serves as the Director and Trader at the Agricultural Produce Market Committee (APMC) in Surat, praised the deal as a reflection of Prime Minister Narendra Modi’s commitment to the nation’s comprehensive development.

He highlighted the decision to exclude agriculture and dairy from the deal as “extremely commendable,” asserting that it protects the interests of Indian farmers.

Shaikh noted that the deal is set to greatly benefit farmers in Gujarat, especially those in South Gujarat.

“Fruits like mango, sapota, papaya, and banana will now face zero per cent tariff. This will give significant relief and open up enhanced prospects for farmers in this area,” he stated, emphasizing that this move will facilitate better access to the US market for local produce.

According to him, the advantages extend beyond just farmers. He mentioned that traders are also pleased with the deal as it paves the way for direct trade with the United States under advantageous terms.

Shaikh underscored that stringent regulations have been established regarding imports to shield domestic producers. “Citrus fruits, potatoes, peas, beans, and frozen vegetables are prohibited from entering India. This ensures that our farmers are safeguarded while exports are allowed at zero per cent tariff,” he added.

He further stated that this strategy will be extremely beneficial for the country’s growth and resonates with the Prime Minister’s vision of doubling farmers’ income.

Talking about vegetable exports, Shaikh remarked, “Products like Indian beans, brinjal, and other vegetables are exported to the US, and we expect an increase in these exports following the removal of tariffs.

Reflecting on previous tariff hikes, Shaikh recounted that trade had sharply declined. “Our trade dropped by nearly 70 per cent, and imports of fruits and vegetables were significantly affected. With this new announcement, both traders and farmers will benefit, motivating farmers to advance in agriculture,” he explained.

Experts have also pointed out that India stands to gain from the updated tariff structure outlined in the deal.

They remarked that the US previously imposed a 25 per cent tariff on Indian goods, which was later increased by an additional 25 per cent, but has now been reduced from 50 per cent to 18 per cent—an outcome viewed as favorable for India.

Nikhil Madrasi, President of the South Gujarat Chamber of Commerce and Trade, remarked that India’s strategy of exploring alternative global markets after tariff increases by the US has proven successful.

“We have not relied on just one country. Now that tariffs have been lowered, the new markets we have cultivated will continue to benefit us,” he stated.

Madrasi emphasized that the agreement fortifies India’s determination to avoid over-reliance on any single nation.

He pointed out that India’s exports to the US are valued at $86.5 billion, while imports total $45.3 billion, indicating that significant changes are unlikely.

“We made it clear that we would not yield, but we would persist in dialogue. I believe this deal is the result of that dialogue,” he concluded.