How will India-US trade deal impact agricultural sector? Explained

How will India-US trade deal impact agricultural sector? Explained. (Representative Image: IANS)


While India is yet to put out the full details of the India-US trade agreement, the United States has confirmed that the deal is a win-win for its agricultural sector. As per the US Secretary of Agriculture, Brooke Rollins, the US will export more of its American farm products to India’s massive market under the India-US deal.

The leaders of the two countries, Prime Minister Narendra Modi and US President Donald Trump, announced the tariff reduction from 50 per cent to 18 per cent yesterday through a post on a social media platform.
Notably, Trump said in his post on the social media platform that India has agreed to purchase more American goods. He specified that the purchases would surge to around $500 billion, including the buying of American agricultural products.

According to a statement by an Indian government official to Reuters, India has agreed to offer market access to some US agricultural products under the deal.

Will India-US trade deal keep American farmers first?

In the first post after the announcement of the India-US trade deal, the US Secretary of Agriculture thanked the United States President Donald Trump for once again delivering for our American farmers.’
She posted on X: “India’s growing population is an important market for American agricultural products, and today’s deal will go a long way to reducing this deficit. America First victory on top of the dozens of deals for agriculture.”


According to the data available, the agricultural trade deficit of the United States with India was $1.3 billion in 2024. The US agricultural exports in 2025 reached approximately 1.7 billion USD, as per the USDA data.

On the impact of the India-US trade agreement on the Indian agriculture sector, Former Foreign Secretary and Rajya Sabha MP Harsh Vardhan Shringla said, “Some items will come from the US, but they will not threaten our agriculture. I don’t see any contradiction or any problem that our farmers could face.”