India likely to get Bangladesh-style 0% tariff on textiles as part of US trade deal: Piyush Goyal

Interests of farmers have been protected as part of the India-US trade deal, Commerce Minister Piyush Goyal says.

India's textile industry is expected to get zero-tariff benefits, a la Bangladesh, as part of the trade deal with United States, Commerce Minister Piyush Goyal said on Thursday. That's provided if Indian apparel makers use US cotton.

Commerce Minister Piyush Goyal. (HT)

Interests of farmers have been protected as part of the India-US trade deal, Goyal went on to say, as 90-95% of farm products produced in India have been left out of the agreement.

Dhaka has secured a reduced 19% tariff under a US-Bangladesh trade deal, with exemptions on textiles and garments made using raw material imported from the US. Muhammad Yunus, chief advisor heading Bangladesh's interim government, said Washington D.C. had “committed to establishing a mechanism for certain textile and apparel goods from Bangladesh using US-produced cotton and man-made fiber to receive zero reciprocal tariff in (the) U.S. market”.

With inputs from Reuters. More to come.