United States and India agree to lower tariffs on pulse crops

Press release

Last Thursday, United States Trade Representative Katherine Tai announced the United States and the Republic of India have agreed to terminate six outstanding disputes at the World Trade Organization.

Furthermore, India agreed to remove retaliatory tariffs on certain U.S. ag products, including chickpeas, lentils, almonds, walnuts and apples, marking a big win for Montana agriculture, the state Department of Agriculture said in a press release.

The Exchange of Letters between the United States and India is available online at https://ustr.gov/sites/default/files/2023%2006%20US%20India%20Letter%20Exchange_USTR%20website.pdf .

The tariff cuts will restore and expand market opportunities for U.S. agricultural producers and manufacturers,” a release from Tai’s office said. The resolution also maintains the integrity of the U.S. Section 232 measures.

Montana is currently the number one-ranking state in both chickpea and lentil production in the United States. In 2022, Montana produced just more than 65% of the nation’s lentils, USDA’s National Agricultural Statistics Service reports. With the export value of U.S. pulses in 2021 reaching $389 million and the current estimate being 120% more due to higher production, this removal of retaliatory tariffs marks a large opportunity for Montana agriculture and its producers.

“Prime Minister Modi’s visit has underscored the importance of the U.S.-India bilateral relationship and our cooperation on a range of shared priorities. Today’s agreement represents the culmination of intensified bilateral engagement over the last two years, including through the U.S.-India Trade Policy Forum, to deepen our economic and trade ties,” Tai said. “As a result of our work, U.S. agricultural producers and manufacturers will now enjoy renewed access to a critical global market and we will strengthen our trade relationship with one of our closest partners.”

The Joint Statement on the 13th Ministerial-level meeting of the United States-India Trade Policy Forum, which was held on Jan. 11, can be found online at https://ustr.gov/sites/default/files/2023-01/Joint%20Statement%20on%20the%20United%20States-India%20Trade%20Policy%20Forum.pdf .

The Montana Department of Agriculture is serving Montana Agriculture and growing prosperity under the Big Sky. For more information on department programs and services, people can visit https://agr.mt.gov .