Before the trade agreement, the wording and conditions of the contract ‘quietly’ changed in the United States! How much will India benefit?

Before the signing of the India-US Trade Deal, America made several changes to the treaty. It is known that several terms and conditions have been changed in the contract. This change is expected to have a significant impact on trade between the two countries. Notable among these changes is that, in the original agreement, India was ‘committed’ to buy goods worth more than US$ 500 billion from the US. This commitment has been replaced by ‘willing to buy’. The second change has been brought in the conditions of purchase of agricultural products.

After long tension and tariff war, India and America have recently come to a place of compromise. The trade agreement between the two countries is going to be soon. However, before the agreement was signed, a report came out from the White House on Tuesday. That said, two major changes have been made to the terms of the agreement. Which is comforting for India. Along with the change in wording came a second change in terms. Certain agricultural products are excluded from the list of trade goods in the agreement. More precisely certain pulses. Earlier drafts of the agreement had stipulated that India would either eliminate or reduce tariffs on US goods. The list included dried distillers grains, red sorghum, tree nuts, fresh and processed fruits, certain pulses, soybean oil, wine and spirits. However, the revised version does not mention specific pulses.

In the original agreement, India was ‘committed’ to buy goods worth more than US$ 500 billion from the US. This commitment has been replaced by ‘willing to buy’.

The language of digital service tax has also been changed in the new version. There are several lines that India is committed to negotiating strong bilateral digital trade policies to eliminate discriminatory or complex restrictions. According to informed sources, this revision of the trade agreement between the two countries is definitely beneficial for India. First, as per the previous draft, India was bound to buy more than $500 billion worth of goods from America. Now India is no longer bound by the new conditions. On the other hand, the exclusion of pulses from US tariff-free agricultural products means that India can impose tariffs on these products at will.