The Global Trade Research Initiative (GTRI) has said that it is necessary to put pressure on the US to remove additional tariffs imposed in protest against the purchase of oil from Russia. If these tariffs are lifted, the burden of US tariffs on Indian goods will be reduced from 50 percent to 25 percent. This will provide significant relief to sectors like textiles, leather, gems, jewellery and pharma. These sectors have been waiting for a long time. The GTRI has asked the Board of Trade (BOT) to prioritize two issues in its upcoming meeting with the government. The Commerce and Industry Minister will chair the BOT meeting with the government on Tuesday. The meeting will recommend measures to increase export growth.
The report said that tariff reduction is necessary to restore India’s export competitiveness and put India on an equal footing in future negotiations with the US. GTRI recalled that President Trump had publicly admitted that India had largely stopped buying oil from sanctioned Russian companies. The surcharge was imposed on that basis. GTRI warned the government that the Export Promotion Mission is currently limited to a framework. It was announced in the Union Budget. It was approved by the Cabinet on November 12. The mission does not yet have an action plan for the eight months leading up to the start of the 2025-26 financial year, and the report said that immediate implementation of these plans is essential to accelerate export growth.
