India's Trade Pact with the US: Balancing Apple Import Concessions and Domestic Protection

India has granted a quota-based duty concession on US apples as part of an interim trade agreement, assured Commerce and Industry Minister Piyush Goyal. A minimum import price of Rs 80 per kg and a 25% import duty have been imposed to protect domestic apple growers.

The proposed India-US trade pact, expected to be finalized by mid-March, restricts imports of US apples priced below Rs 100 per kg. Currently, imported apples face a 50% duty with a minimum import price set at Rs 50 per kg, thus barring imports priced below Rs 75 per kg. Goyal reassured that Indian apple farmers are safeguarded under this new agreement.

Under the trade pact, India and the US have agreed to zero reciprocal tariffs on various goods including Indian agricultural products, fruits, vegetables, tea, and coffee. Notably, concessions do not extend to dairy, sugar, or millets. Additionally, India provided duty concessions for US goods in sectors such as alcoholic beverages, cosmetics, and medical devices, while securing zero tariffs on certain auto and aircraft parts.