The proposed India–United States trade deal will not include sensitive agricultural commodities or dairy products, Commerce and Industry Minister Piyush Goyal said on Tuesday. He stated that the understanding announced by U.S. President Donald Trump and Prime Minister Narendra Modi late on Monday night would safeguard key domestic sectors.
The announcement by the two leaders was made through social media posts on February 2, 2026. The agreement’s detailed contours are yet to be released, with a joint India–U.S. note still awaited.
Government outlines sectoral approach
Addressing the issue on February 3, 2026, Goyal said the agreement had been structured to benefit India’s labour-intensive exporting sectors. He indicated that these segments would gain from improved market access without compromising areas considered sensitive in India’s agricultural economy.
The minister emphasised that dairy and select farm items were kept outside the scope of negotiations. He added that full details of the deal would be made public soon, once formal documentation is finalised between the two sides.
Political exchange in Parliament
Goyal also took aim at the Opposition for not making a statement in Parliament following the announcement. He suggested that criticism was being made outside the House despite an opportunity to seek clarity during parliamentary proceedings.
The comments come amid heightened political scrutiny of trade negotiations, particularly those involving agricultural imports. Past discussions on market access for farm goods have often drawn resistance from farmer groups and political parties across regions.
Context of ongoing trade engagement
India and the United States have been in talks to recalibrate trade terms amid shifting global supply chains. The latest announcement builds on earlier tariff-related decisions and negotiations aimed at boosting bilateral commerce.
Previous developments in India–U.S. trade, including tariff adjustments affecting Indian exports, have been tracked closely by industry and policymakers. Related coverage on tariff changes impacting “Made in India” products can be read at https://citybuzzdaily.com/trump-announces-18-percent-tariff-reduction-made-in-india/.
Administrative next steps
Officials are now expected to release the joint note detailing the scope and implementation framework of the deal. Until then, the government has maintained that sensitive sectors remain protected while export-oriented industries stand to gain.
The trade deal’s final structure and timelines will be clearer once both governments issue formal statements outlining commitments and exclusions.
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