'Trade agreements necessary, but India first...': Jaishankar drops bombshell ahead of Indo-US trade deal

The trade pact discussions between India and the US are underway in full steam. However, External Affairs Minister S Jaishankar has made it certain that trade agreements are not that crucial but Indian interests are always going to come first. He stressed upon the cost of not being proactive while negotiating a trade deal and stated that India is going ahead with a vision. Jaishankar's remark was made at a time when the former US President Donald Trump has threatened reciprocal tariffs. But the Indian government has time and again guaranteed that there will be no compromise on the nation's interests and the

Negotiations are going on in a balanced way

External Affairs Minister S Jaishankar has informed that India is engaged in three significant trade talks, such as the Bilateral Trade Agreement (BTA) with the US, the Free Trade Agreement (FTA) with the United Kingdom (UK) and the European Union (EU). "Trade agreements have always been crucial in the background of international economic partnerships. It has become increasingly necessary now," he added, stating that India has initiated discussions with New Zealand recently and a few other agreements are also pending. This indicates that India is shifting towards balancing and diversifying its international trade policy. 

Potential harms of inaction in trade negotiations

Pointing towards the pitfalls of doing nothing on global trade talks, Jaishankar indicated, "Today's unstable and uncertain world necessitates the comprehension of the benefits of trade talks. We have to look cautiously at their advantages and disadvantages," he stated while asserting that there is a need for a dynamic trade policy for India's access to advanced technology. Herein, the trade talks with America and other nations will be according to the country's long-term interests.

Focus on India-first strategy

Jaishankar clearly indicated that India will focus more on its 'India First' strategy. "India will adopt a clear India-first approach in this respect, towards a developed India," he said, explaining that previously, most of the FTAs were with Asian economies but now India is aiming at balancing with the Gulf and the Western world. It is not only strategically important but also economically.

U.S. tariff policy

Under Donald Trump's 'America First' policy, he has recently imposed reciprocal tariffs on nations that have imposed high tariffs on US products. "We have a very good relationship with India, but India has put too many tariffs on the United States," Trump said. Trade negotiations are going on, but India will make its decisions wisely and strategically.