India-US Trade Talks Near Stalemate Over Agriculture, GM Products Concessions

India and the United States are engaged in ongoing negotiations for a bilateral trade agreement, with a target to conclude the first phase by fall 2025. However, India maintains firm red lines on duty concessions for agriculture, dairy, and genetically modified (GM) products, citing national interests, religious sentiments, and health concerns, particularly regarding the use of animal feed in American dairy products. U.S. President Donald Trump has imposed a 25% tariff on Indian goods amid these stalled talks, underscoring tensions over access to India's protected agricultural sector, which remains vital to about half of India's population despite its smaller GDP share. India is examining the impact of these tariffs and consulting stakeholders to safeguard its labor-intensive farming industry and national trade practices. These developments highlight the political sensitivity and economic complexity of agricultural trade issues between the two countries, with potential implications for broader international markets. Meanwhile, separate trade tensions have also emerged for countries like South Africa, which faces high U.S. tariffs impacting its agricultural exports, illustrating the challenging nature of current U.S. trade policies.