India-US trade pact to be signed at appropriate time, only a few issues remain: Commerce Secretary

The India-US trade pact is more or less finalised, with only a few issues being discussed by the two sides, and it will be signed at an appropriate time, Commerce Secretary Rajesh Agarawal said here on Wednesday.

Any trade deal, he said, has to give a certain kind of preferential market access to each other.

"My minister (Commerce Minister Piyush Goyal) on record has multiple times indicated that the deal has more or less been finalised. There are a few things which both sides are discussing, but it will be signed at an appropriate time. There is a requirement that any deal has to give you a certain kind of preferential access on each other's part.

"From the Indian side, because we are operating on MFN (most favoured nation) tariffs, it is easier to do so. From their (US) side, they are operating on executive tariffs. So, they are building an architecture, which will create those differentials and create a preferential market access. So, at an opportune time, we should be able to sign," he told reporters here.

The secretary added that the bilateral trade between the two countries is growing.

Goyal has recently stated that the details of the Bilateral Trade Agreement (BTA) with the US will be announced once Washington offers preferential terms to India compared to its competitors.

In trade parlance, an MFN tariff is the standard import or customs duty a country charges on goods from another country when there is no trade agreement giving lower duties.

The US has imposed an additional 10 per cent import duty over and above its MFN tariff on several countries, including India, under a Section 301 probe concerning forced labour. It was imposed from July 24.

During April-July 2026-27, India's merchandise exports to the US grew 3 per cent to USD 34.5 billion, while imports increased 22.42 per cent to USD 22.12 billion.

In February, India and the US announced finalisation of the framework for the first phase of the pact, but changes in the tariff landscape in the US have led to further negotiations between the two countries on the pact.

Goyal will visit the US in late September to attend the G-20 Trade Ministerial in Milwaukee and hold bilateral talks with USTR Jamieson Greer, with trade pact issues to figure in the discussions.

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Agarwal said the negotiations have been progressing well between the two countries.

"We are at the final stages. There are certain areas on which we are presently stuck, but we look forward to the next 2-3 months...in which we should find something," he said.

The two countries are negotiating a Comprehensive Economic Partnership Agreement (CEPA).

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The secretary said that the agreement is expected to come into force from October.

"I'll come across with a date once it is finalised," he added.

The two countries signed the pact on April 27.

BRICS MEETING:

Agarwal said that over 2,000 business delegates from all the BRICS members will be participating.

"There are more than 900 international delegates also who are joining this session," he said, adding that it will be a good opportunity for the businesses from the BRICS nations to "coordinate with each other, meet each other and see what new partnerships can be forged for increasing trade".

When asked about any possibility of discussions on rupee-based trade, he said: "I don't think that is something in the domain of commerce that we are talking about".