What does the India US trade deal change for exporters?

It removes US import tariffs on Indian agricultural shipments, which can lower delivered costs for US buyers. Exporters may capture better prices or pass savings to gain share. Margins, orders, and utilisation can improve if firms have the right certifications, strong delivery records, and hedging to manage currency risk.

Which Indian sectors could benefit first?

Marine products, spices, basmati rice, tea, coffee, and processed foods are likely candidates. Firms with established US distribution, FDA or USDA-compliant processes, and reliable testing protocols should move faster. Logistics, cold storage, testing labs, and packaging providers can also see upside as export volumes and product variety expand.

Did India cut tariffs for US farm goods under this deal?

No. India has not offered reciprocal tariff relief for US agricultural imports. The deal focuses on duty-free access for Indian farm exports entering the US. That keeps competitive pressure lower at home while supporting export-led growth for Indian producers aiming to deepen relationships with US buyers.

What is the status of GM foods in India?

The GM food ban in India remains in place unless specific approvals are granted. This limits import competition from genetically modified items and may require non-GMO declarations in export documentation. Exporters must also meet US food safety and labelling rules, which adds compliance costs but supports market access.

What risks could limit the benefit from zero tariff agri exports?

Key risks include stricter US labelling or SPS rules, anti-dumping cases, higher reefer and container rates, and INR appreciation reducing realisations. Execution risks involve quality control, traceability, and working capital strain as volumes rise. Investors should track earnings guidance, export data, and regulatory updates from both countries.

Global Market Insights

February 09: India-US Trade Deal Sets Zero Tariff on Agri Exports

ByDanny Kontos February 9, 2026February 9, 2026

The India US trade deal puts zero tariff on Indian agricultural exports entering the US. This can lift realisations and expand market access for Indian exporters, while India offers no reciprocal tariff relief on US farm goods. Piyush Goyal’s statement confirms duty-free entry and continued restrictions on GM foods in India. We explain who benefits, what to watch on pricing and compliance, and how investors in India can position for the next quarter and beyond.