11 months ago
India-US Trade Stance: Economist Warns of $50B Export Risk
An economist, Ashok Gulati, says that India might lose a lot of money in exports if they don't agree with the US on trade.
The US wants India to lower taxes (tariffs) on certain farm products.
Gulati thinks India's current taxes are too high and not based on science, especially for crops like corn and soybeans.
He points out that India already imports a lot of cooking oil and suggests it's a bad idea to block imports.
He worries that if India is too strict, the US might put high taxes on Indian exports, like shrimp.
He also states that both sides should compromise during negotiations.
Agricultural economist Ashok Gulati warns of potential $50 billion export loss.
India is urged to rationalize tariffs on farm goods in US trade negotiations.
India currently imports $37 billion of farm products, including $2B from US.
India exports $5.9 billion of agricultural products to the US.
Gulati highlights the risk of retaliation if India remains inflexible on tariffs.
- Who
- Ashok Gulati
- What
- Warns of $50 billion export loss if India doesn't adjust its tariff stance with the US
- Where
- India
- When
- Not specified
- Why
- To avoid losing exports and potential retaliation in trade negotiations.
Protectionist View
Trade Liberalization
Tariff Policies
Protectionist View
India needs to protect its farmers by keeping tariffs high to prevent imports and protect its rural economy.
Trade Liberalization
India should lower tariffs to avoid losing export opportunities and align with global trade practices.
GM Crops
Protectionist View
India's current policy regarding GM crops is consistent.
Trade Liberalization
India's policy regarding GM crops is inconsistent and not based on science.
Key facts
- Expert
- Ashok Gulati, Agricultural Economist
- Negotiation
- India-US Trade Deal
- Key Issue
- India's tariff policies on agricultural goods
- Potential Export Loss
- $50 billion
- Current U.S. Farm Exports to India
- $2 billion
- India's Farm Exports to US
- $5.9 billion
- Edible Oil Imports
- 55-60% of India's consumption is imported
Quotes
Ashok Gulati
Agricultural economist
“If edible oil can come at 10 percent duty and cotton at zero, then why do we have 45 percent duty on corn, 50 to 60 percent on soybean, or skimmed milk powder?”
businesstoday.in
“If they want self-sufficiency in agriculture, first thing they should do is stop all the imports of edible oils which are 17 billion dollars.”
businesstoday.in
