New Delhi: Home Minister Amit Shah announced Saturday that the interim trade agreement between India and the United States would significantly boost India's economy. Shah stated the agreement would benefit farmers, entrepreneurs, and create jobs for youth and women.

The agreement finalizes the framework for the first phase of a bilateral trade deal, under which both countries will reduce import duties on a number of goods to boost two-way trade. The first segment of this pact is anticipated to be signed by mid-March.

The interim trade agreement aligns with the broader US-India Bilateral Trade Agreement (BTA) negotiations, which were initiated by President Donald Trump and Prime Minister Narendra Modi on February 13, 2025. This framework underscores both countries' dedication to advancing these negotiations.

Shah conveyed his thoughts on X, stating that the agreement makes way for a boom for Make in India, hardworking farmers, entrepreneurs, MSMEs, startup innovators, and fishermen while churning employment for youth and women, translating Prime Minister Narendra Modi's vision of a Viksit Bharat into an inevitable reality. He also expressed gratitude to Modi for this significant achievement.

Under the new agreement, the United States will reduce tariffs on Indian goods from 50% to 18%. Meanwhile, India will either eliminate or lower import duties on American industrial goods. This includes a variety of food and agricultural products such as dried distillers grains, red sorghum for animal feed, tree nuts, fresh and processed fruit, soybean oil, wine, and spirits.

The trade agreement is expected to benefit several sectors within India. It supports initiatives like Make in India and provides opportunities for farmers, entrepreneurs, MSMEs, startups, and fishermen. Additionally, it is anticipated to generate employment for both youth and women across the country.

Union Minister Ramdas Athawale stated that the India-US interim trade deal will boost trade and empower farmers.

In a separate post on X, Shah stated that the trade deal between the two nations will help secure new supply chains and enhance investment and Credit Flow. Shah extended heartfelt congratulations to Prime Minister Narendra Modi for securing the agreement and stated that the deal will accelerate the Indian economy and propel it towards the goal of achieving "Viksit Bharat" by 2047.