India Next After Indonesia, Says Trump: ‘Deal on Similar Lines’

International News: This week, Indian negotiators have been engaged in intense talks to finalise an interim trade deal with the US. These talks are taking place at a time when US President Donald Trump has announced a new trade deal with Indonesia and said that work is being done in the same direction with India.

Trump described the agreement with Indonesia as a "remarkable success", under which US tariffs on Indonesian products were reduced from 32 percent to 19 percent. In return, American companies have been promised full access to the Indonesian market. Trump also said that a similar arrangement is being negotiated with India, which will give the US access to the Indian market.

Warning for India: It is important to be cautious

Think tank GTRI (Global Trade Research Initiative) has cautioned India that Trump's announcements are often one-sided and may be a pressure tactic before an actual agreement is reached. Citing the example of Vietnam, GTRI said Trump's "unconfirmed announcements" could complicate negotiations.

Fears of a potentially unbalanced deal

GTRI also said that if India enters into an unbalanced agreement on the lines of Trump's, in which America gets full duty-free entry while India gets limited benefits, then it can be disastrous for India. Especially the agriculture and dairy sectors can come under pressure from American products.

Joint statements and the need for transparency

The think tank suggests that India should insist on a joint, written statement before any agreement is reached. Announcements made verbally or on social media can lead to misunderstandings and damage in the future.

Agricultural talks become a big challenge

According to reports, agreement on the agriculture sector remains a major hurdle. India has kept its stand clear in this area and said it is linked to domestic interests. The US has described August 1 as a "limit to accelerate the talks" and not a deadline.