He is confident of the early conclusion of the first phase of the Indo-US BTA, says Minister Piyush Goyal | Today’s news

New Delhi: India and the US are nearing the first tranche of a bilateral trade agreement (BTA), with both sides signaling that only minor issues remain before completion, Commerce and Industry Minister Piyush Goyal said on Monday.

Speaking to reporters in New Delhi, Goyal said he was confident the two countries would conclude, sign and then move on to a broader pact as the US delegation arrives for a new round of talks from June 2-4.

“For the most part, everything is completed. As you know, US Ambassador Sergio Gor said that 99 percent of things are completed. Discussions are going on about small issues, dashes and dots,” he said, adding that the discussions are based on the framework announced on February 3.

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He characterized the remaining problems as mostly technical. “Mostly everything is done. As you know, US Ambassador Sergio Gor.” he said 99% of things are complete. There are discussions on small issues, commas and dots,” he said.

On February 7, India and the US issued a joint statement defining the contours of the first phase of the BTA, or Interim Trade Agreement. Both parties now need to translate the framework into a legally binding text.

Reconfirms the framework

The framework reaffirmed the broader commitment to the ongoing BTA negotiations between India and the US. It said the US would reduce tariffs on India to 18% from 50%, remove 25% of tariffs on Indian goods related to purchases of Russian oil and reduce the remaining 25% of tariffs to 18% under the proposed pact.

Goyal added that negotiators are now focusing on how recent legal changes in the US will translate into the deal.

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“During the finalization, how the legal changes that have taken place in the US will be reflected in the final agreement and what changes will be made accordingly. After completion, I am fully confident that we will conclude the first tranche of the BTA with the US as soon as possible, sign it and start further discussions on how to have a more comprehensive BTA,” he said.

The US Embassy said in a statement on Monday that a delegation led by Assistant US Trade Representative Brendan Lynch will visit India from June 1 to 4 to continue discussions on finalizing the agreement.

“Like Secretary of State Rubio stated during his recent visit to India that the US government is committed to a trade agreement between the United States and India that will be permanent, beneficial and sustainable for both countries,” said a US embassy spokesperson, referring to Marco Rubio.

Discussion section

Tariffs imposed under Section 301 are expected to be part of discussions during a three-day visit by the US chief negotiator, according to multiple media reports. US Trade Representative Jamieson Greer is expected to visit India later for further talks once the outcome of the Section 301 investigation or a commitment that India will not be subject to action under the provision is clearer, reports said.

Bilateral trade between the two countries has grown from $20 billion to $220 billion over the past two decades.

At an event in New Delhi last week on the US-India TRUST (Transforming the Relationship Using Strategic Technologies) initiative, US Ambassador Sergio Gor said that an Indian delegation had recently traveled to Washington to resolve outstanding issues, and that a US team would soon arrive in India to conclude talks.

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“Our current interim trade agreement is on the table to finalize and this will unlock prosperity for both our countries. Just last week, India sent a team to Washington DC to finalize the last one percent of this trade agreement,” he said.

“Today, the US is one of India’s largest trading partners, and India is among the US’s leading trading partners. Importantly, this growth is increasingly driven by innovation, investment and high-value sectors, from digital commerce and advanced manufacturing to energy and new technology,” he added.