Donald Trump is looking at farming and farming, difficulties may increase for the Government of India

US President Donald Trump is now eyeing the agriculture sector. In the midst of tariff threats, he wants India to reduce the tariffs on American agri products.

Actually, the discussion on the Bilateral Trade Deal between India and the US is in full swing. Meanwhile, India is considering reducing tariffs on American products, while the US wants to cut tariffs to increase its export of agricultural products in India.

What Donald Trump wants

According to a report published on the Indian Express, tariffs on agricultural products will be an important issue in the talks of Indo-US trade agreement. In fact, the Donald Trump administration has given priority to agricultural products to promote American exports.

Why are Trump focusing on agriculture sector

Actually, farmers of Mid-Western states of America have been a strong supporter of Trump since 2016. In the recent election, Trump has increased his vote in agriculture dependent areas. According to a report, Trump got more than 80 percent of the votes in more than 100 agrarian -oriented counties.

In such a situation, Trump wants to make these farmers happy by reducing the tariff in India. However, due to this demand of Trump, difficulties may increase for the current Modi government. In fact, the central government imposes strong tariffs on agri product coming from abroad to secure the income of farmers of India and to increase them, if the central government reduces the tariff on the Agri product of America, assuming the demand of the trump. Indian farmers can be affected by this.

Understand the difference between tariff between India and America

Talking about the current time, India has reduced basic custom duty (BCD) on many products in the recent budget, but the US says that tariffs on agricultural products in India are still much higher than America.

According to a statement given by the US government, “The average MFN (Most Favored Nation) tariff on agricultural products in the US is 5 per cent, while in India it is 39 per cent.” Indian officials believe that reducing tariffs on agricultural products will increase agricultural trade between the two countries. Also, Indian agricultural exports will get better access to the US market.

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