India-US must iron out these issues before final trade deal

The two countries will also continue negotiations to address remaining issues, including services and investment, labour and government procurement, it said. 

Days after India and the US announced in a joint statement the framework for an Interim Agreement regarding reciprocal and mutually beneficial trade, the White House issued a fact sheet on 'The United States and India Announce Historic Trade Deal (Interim Agreement).' 

The fact sheet highlights key terms of the agreement, including that India will eliminate or reduce tariffs on all US industrial goods and a wide range of US food and agricultural products. This includes dried distillers' grains, red sorghum, tree nuts,and fresh and processed fruit. certain pulses, soybean oil, wine and spirits, and additional products and India has committed to buy more American products and purchase over USD 500 billion of US energy, information and communication technology, agricultural, coal, and other products. 

On the 'Prosperous Path Forward', the fact sheet said that US President Donald Trump continues to advance the interests of the American people, enhancing market access for American exporters and lowering tariff and non-tariff barriers to protect our economic and national security. 

"India has maintained some of the highest tariffs on the United States of any major world economy, with tariffs as high as an average of 37 per cent for agricultural goods and more than 100 per cent on certain autos. India also has a history of imposing highly protectionist non-tariff barriers that have banned and prohibited many US exports to India," the fact sheet said. 

"In the coming weeks, the United States and India will promptly implement this framework and work toward finalising the Interim Agreement with a view to concluding a mutually beneficial BTA to lock in benefits for American workers and businesses," it said. 

The announcement provides a "tangible path forward" with India that underscores the President's dedication to realising balanced, reciprocal trade with an important trading partner. Further, it added that in line with the roadmap set out in the terms of reference for the BTA, the United States and India will "continue negotiations to address the remaining tariff barriers, additional non-tariff barriers, technical barriers to trade, customs and trade facilitation, good regulatory practices, trade remedies, services and investment, intellectual property, labour, environment, government procurement, and trade-distorting or unfair practices of state-owned enterprises." -- PTI