In the Lok Sabha on Tuesday, Commerce and Industry Minister Piyush Goyal addressed concerns and elaborated on the recently finalized trade agreement between India and the United States, assuring members that the deal is structured to protect the interests of Indian farmers and sensitive sectors. Goyal emphasized that the agreement, reached after nearly a year of negotiations, marks a significant stride in strengthening relations between the two nations and aligns with the vision of "Viksit Bharat 2047".

Goyal stated that the trade agreement reflects strong cooperation between the world's two largest democracies and will support long-term growth, innovation, and global competitiveness. He underscored the importance of safeguarding the agriculture and dairy sectors, ensuring that these core segments remain protected from disruptive import competition. He also mentioned that energy security remains a top priority for India.

The Minister highlighted that the India-US trade agreement will create new opportunities for Micro, Small, and Medium Enterprises (MSMEs), skilled workers, and various industries, boosting exports, investments, and job creation. He added that the agreement would provide a competitive edge to Indian exporters in the world's largest consumer market.

According to Goyal, the trade deal is expected to promote initiatives like "Make in India", "Design in India", and "Innovate in India for the world". It will also help Indian companies integrate into global value chains while expanding market access in the US. He stated that India has secured tariff treatment more favorable than that offered to many other countries.

The agreement includes a reduction in tariffs on Indian goods from 25% to 18%. Goyal pointed out that this is one of the lowest tariffs the US has announced for competing economies and is lower than what India's neighbors, including China and Pakistan, are paying.

While the complete details of the trade deal are still awaited, Goyal has affirmed that the agreement will benefit India's labor-intensive exporting sectors, such as textiles, gems and jewellery, auto components, and engineering goods.

Several former ambassadors have welcomed the agreement, with some describing it as a historic deal and a result of quiet diplomacy. The agreement came just one week after India and the European Union sealed a formal free trade agreement.