White House fact sheet adds 'certain pulses' to reduced/zero tariff list, Pg1

Key Highlights:

• The White House released a fact sheet mentioning that India will reduce tariffs on "certain pulses" from the US.
• This detail was absent from the initial joint statement on February 6, following talks between President Trump and Prime Minister Modi.
• India's pulses import bill increased by 46% to $5.48 billion in FY 2024-25, with the US accounting for $89.65 million.
• Lentils, the primary pulse imported from the US, currently face a 10% duty in India.

Detailed Insights:

• The interim trade agreement framework involves India reducing or eliminating tariffs on US industrial goods, food, and agricultural products.
• Union Agriculture Minister Shivraj Singh Chouhan stated that certain agricultural products will not be imported into India.
• Union Commerce Minister Piyush Goyal noted that some items, including lentils, have been imported from the US for years with phased tariff eliminations.
• India imported lentils worth $78 million from the US in the last fiscal year, ranking third after Canada and Australia.
• Import of tur and urad are allowed duty-free until March 31, 2026, while yellow pea imports will attract a 30% duty from November 1, 2025.

Key Concepts Involved:

• Tariff: A tax imposed on imported goods and services.
• Bilateral Trade Agreement (BTA): An agreement between two countries to promote trade and investment.
• Interim Agreement: A temporary agreement made while negotiations for a final agreement are ongoing.