India-US mini trade deal may be finalised within 48 hours

India and the United States are expected to finalise a long-anticipated mini trade deal within the next 24 to 48 hours, sources told CNBC-TV18 on Sunday (July 06).Negotiations on the deal have been completed, with both sides aligning on key terms aimed at boosting bilateral trade, particularly in labor-intensive sectors.

According to sources, India has proposed a “fair deal” that would support its domestic industries, especially those reliant on exports such as textiles and leather. The early harvest agreement is likely to include annual quotas for lower tariffs on select Indian products, helping them gain competitive access to the US market.
Also Read: US tariffs on European goods threaten to shake up the world’s largest 2-way trade relationshipIn return, India may offer tariff reductions on a limited set of US agricultural items, including pecan nuts and blueberries. However, New Delhi has firmly declined to make concessions on sensitive commodities such as wheat, rice, maize, dairy, and genetically modified crops.

India’s stance on automobile tariffs in the mini deal mirrors its position in other ongoing free trade agreement (FTA) negotiations, sources added. The average tariff under the mini trade deal is expected to be around 10%.

While the mini deal is nearing closure, broader negotiations on a comprehensive Bilateral Trade Agreement (BTA) are expected to begin after July 9.