New Delhi: India’s Commerce Secretary Rajesh Agrawal has announced that the bilateral trade deal between India and the United States is “very near completion.”
Speaking in an exclusive interaction with CNBC TV18 following the presentation of “Budget 2026,” Agrawal signalled that the world’s two largest democracies have successfully ironed out most of the “sticky issues” that previously hindered progress, bringing a finalised agreement within reach.
While the bilateral deal is on the verge of being sealed, Agrawal tempered expectations regarding a broader, comprehensive Free Trade Agreement (FTA), noting that the sheer scale of the US economy requires more time for such an expansive pact. “The US is a big economy, and a larger FTA will take time,” he said, adding that while New Delhi is eager to conclude talks “sooner than later,” it is impossible to set a definitive date for the full FTA at this stage.
The Commerce Secretary emphasised that the success of these negotiations rests on mutual commitment, stating, “It takes two to tango.” He noted that while India remains ready to move forward, the pace of the deal depends on the “appetite” of both nations. This progress follows recent positive momentum from Washington; last month, US President Donald Trump expressed strong confidence in the future of the trade partnership, praising Prime Minister Narendra Modi and signaling optimism for a swift bilateral resolution.
According to the Budget 2026 outlook, a critical component of the negotiations involves “balanced trade,” particularly regarding reciprocal tariffs in the goods sector. A significant “constructive shift” has already been noted following the US decision to exempt over 200 Indian agricultural and food products from elevated tariffs. This move, restoring price competitiveness for Indian exports like spices, tea, coffee, nuts, and processed foods, is seen as a vital stepping stone toward the final deal.
The deal comes at a time of robust domestic performance. Agrawal highlighted that India remains on a steady 7 per cent growth path despite global volatility. With six rounds of talks already concluded, the government is aiming for a historic export target of 850 billion dollars for the 2025-26 period, up from 825 billion dollars in the previous year.
