India expects to finalise and sign the legal framework for its interim trade agreement with the United States before the end of March, Commerce Secretary Rajesh Agrawal said during an exclusive interview at BIOFACH 2026 in Nuremberg. He noted that while the joint statement between the two nations has outlined the main contours of the deal, converting it into a legal document requires careful coordination and drafting.
Agrawal expressed cautious optimism about the timeline, acknowledging potential delays but emphasising that both sides are working to make the agreement operational by March. He highlighted that India’s competitive strength lies in labour-intensive industries, which are expected to benefit significantly from the new trade framework. According to Agrawal, these sectors will have the opportunity to expand exports without unnecessary barriers.
On the matter of the 18% tariff ceiling, the Commerce Secretary pointed out that competing countries in the region maintain tariffs above this level, and Indian exporters would still have access to the US market. He expressed confidence that Indian businesses could regain momentum in global supply chains, recover missed opportunities, and sustain export growth in the coming years.
Agrawal also reaffirmed India’s position on protecting sensitive sectors such as dairy, fisheries, and agriculture. He explained that in all recent trade agreements, sensitive sectors have been safeguarded, and mechanisms like Tariff Rate Quotas (TRQs) have been used to provide limited market access without harming domestic producers or ecosystems.
The Commerce Secretary said industry stakeholders have responded positively to the agreement, noting that businesses appreciate the balanced approach and reciprocal tariff provisions. Agrawal added that January export performance has remained strong, particularly in services, with official data expected to confirm positive trends on February 15.
India is showcasing its organic sector at BIOFACH 2026 as the Country of the Year, with 67 co-exhibitors from over 20 states occupying a 1,074 square meter pavilion, highlighting the country’s growing role in global trade.
