As American trade envoys kicked off two days of negotiations in New Delhi on Wednesday, U.S. Trade Representative Jamieson Greer struck an optimistic yet candid tone from Washington, D.C. He described India’s latest concessions as the most generous the United States has ever secured from any nation, while acknowledging New Delhi’s longstanding defenses against U.S. agricultural imports as a formidable challenge.
Greer, speaking before the U.S. Senate Appropriations Committee, highlighted the ongoing discussions. “I have a team over there right now, as we speak, in New Delhi,” he noted. “There’s resistance in India to certain row crops and other meats and products. Like you said, they’re very difficult nut to crack. I agree with that 100 percent, but they’ve been quite forward leaning…the type of offers they’ve been talking to us about have been the best we’ve ever received, as a country. I think that (India) is a viable alternative market.”
The U.S. has intensified efforts to redirect its agricultural surplus—especially row crops such as corn and soybeans—from China toward new markets like India. Yet New Delhi remains resolute in shielding its vast network of small-scale farmers from international rivals. This impasse over farm goods derailed bilateral talks back in August.
Tensions escalated earlier this week when U.S. President Donald Trump zeroed in on India during a White House roundtable with farmers. Responding to complaints from a Louisiana rice producer about market flooding by imports from India, China, and Thailand, Trump demanded action. “Why is India allowed to do that? They have to pay tariffs. Do they have an exemption on rice?” he pressed Treasury Secretary Scott Bessent. With Washington already levying 50 percent tariffs on Indian goods—the steepest rate imposed on any trading partner—Trump vowed swift resolution. “We will get it settled. Tariffs solve the problem in two minutes,” he declared, while noting the two nations were nearing a deal.
India’s leadership has echoed these concerns. In his August 15 Independence Day address, Prime Minister Narendra Modi affirmed that protecting the livelihoods of farmers, fisherfolk, and cattle rearers would not be sacrificed, particularly regarding access for U.S. dairy and agricultural items.
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Data from the Indian Council for Research on International Economic Relations (ICRIER) underscores the stakes: The U.S. ships out $30 billion in soybeans, $17.2 billion in maize, $7.3 billion in wheat, and $1.9 billion in rice annually, primarily to China, Mexico, the European Union, and Japan.
Greer suggested potential compromises, including India’s possible embrace of imported U.S. soybeans for biofuel production—a nod to its aversion to genetically modified crops. To ease inflation pressures, the U.S. suspended reciprocal duties in November on items like coffee, tea, tropical fruits, cocoa, spices, bananas, oranges, tomatoes, beef, and fertilizers.
A recent USTR report flagged ongoing frictions, criticizing India’s agricultural subsidies, GM regulations, and dairy restrictions. It specifically called out requirements that dairy imports come from animals free of certain ruminant or porcine feeds, deeming them unjustified for health or safety.
ICRIER’s February analysis painted India’s dairy sector— the world’s largest—as a cooperative-driven powerhouse with scant room for foreign entrants. While barriers preserve local interests and align with food safety and cultural standards, the think tank urged gradual tariff cuts, R&D boosts, and supply chain upgrades to foster competitive exports and long-term growth.
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