India’s textile industry is expected to get zero-tariff benefits like Bangladesh as part of the trade deal with the United States, Commerce Minister Piyush Goyal said on Thursday. This is provided if Indian apparel manufacturers use American cotton.
Goyal further said, farmers’ interests have been protected as part of the India-US trade agreement, as 90-95% of agricultural products produced in India have been kept out of the agreement.
Dhaka has secured 19% lower tariffs under the US-Bangladesh trade agreement, which exempts textiles and apparel made using raw materials imported from the US. Muhammad Yunus, the chief adviser leading Bangladesh’s interim government, said Washington DC had “committed to setting up a mechanism for certain textile and apparel goods from Bangladesh using US-made cotton and man-made fibers to achieve zero reciprocity tariffs in the US market”.
With inputs from Reuters. more to come.
