New Delhi: India is hopeful that a long awaited trade agreement with the United States will be finalised by the end of this year, according to a senior government official who said that most points of negotiation have already been settled.
The official said that discussions have progressed well in recent months and only a few unresolved matters remain before both sides can sign the deal. Indian and US trade teams have been holding regular meetings, including virtual discussions in recent weeks, to fast track the process.
Despite optimism, the negotiations face pressure from various sectors in India. Members of India’s parliamentary commerce committee have told officials that the agreement should not harm the interests of farmers, one of the biggest political and economic stakeholder groups in the country. They want strong protections included in the final version of the deal.
Analysts say India is negotiating from a more confident position compared to past trade talks. A strong domestic market and growing exports have given the government more room to push for better terms.
The talks come at a sensitive time for the economy. Markets have reacted to uncertainty, and the Indian rupee recently weakened to a record low as investors waited for clarity on future trade relations and tariffs.
The trade agreement is expected to cover tariffs on key export products, manufacturing cooperation and digital trade. If completed, it would mark a major step in strengthening economic ties between the two countries.
Officials have not shared a specific signing date but remain confident that the deal will be concluded before the year ends. Observers say the next few weeks will be crucial as negotiators attempt to resolve the last remaining issues without delaying the timeline.