India-US trade deal ‘more or less’ finalised, framework for preferential access being worked out: Commerce Secretary Rajesh Agarwal
The India-US trade deal is nearly finalized, with both nations discussing preferential market access. India's free trade agreement with Chile is also in its final stages of negotiation. New Zealand FTA is expected to become active soon, potentially in October. Government efforts aim to reduce freight costs and support exporters effectively. India sees significant opportunities to expand its…
Mumbai: The India-US trade deal is nearly finalized, with talks underway to establish a framework for preferential market access, Commerce Secretary Rajesh Agrawal announced on Wednesday. Speaking at the Global Fintech Fest 2026, Agrawal stated that while specific details are still being discussed, the agreement will be signed at an appropriate time.
India, which applies most-favoured-nation (MFN) tariffs, aims for the US to adopt executive tariffs, creating differentials and preferential access. Both nations' businesses are actively engaged and content with the present understanding, Agrawal added. The India-Chile free trade agreement is in the final stages, with some areas pending discussion.
Agrawal also expressed hope to implement the India-New Zealand trade pact soon, possibly by October. Regarding freight costs, the government is collaborating with exporters to secure ships and containers, minimizing cargo delays and expenses. Exports have increased by over 15% in the first four months, despite higher freight costs, according to Agrawal.
Agrawal highlighted opportunities to expand India's fintech services globally, particularly in the Global South, leveraging India's experience with digital payments, lending, insurance, and trade finance. By lowering remittance costs for migrant workers from 5-6% to 3%, an additional USD 5 billion could be available to them, while a similar reduction globally would benefit the global migrant population by USD 30 billion.
Currently, India generates about USD 5 billion in e-commerce exports, compared to USD 1 trillion in global e-commerce trade. Agrawal noted that India has signed nine trade agreements in the past five years, involving a combined GDP of USD 60 trillion, with 23 countries having signed MoUs for digital public infrastructure cooperation.
Agrawal emphasized the potential for India's fintech services exports to reach USD 60 to 80 billion.
Written by urgent.news from The Economic Times - Economy's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
