US Revises India Trade Deal Fact Sheet

The United States has revised its official fact sheet on the recently announced interim trade agreement with India, removing references to pulses and modifying language around India’s proposed $500 billion purchase plan.

India and the US had announced last week that they reached an interim trade deal as part of ongoing negotiations.

What Has Changed?

In the earlier version of the White House fact sheet, several products were listed for tariff reduction or elimination by India. These included dried distillers’ grains (DDGs), red sorghum, tree nuts, fresh and processed fruits, selected pulses, soybean oil, wine and spirits.

The updated version no longer mentions pulses among the products under discussion for tariff cuts.

Another key change relates to India’s expected purchases from the United States. The earlier document stated that India had “committed” to buying more than $500 billion worth of American goods.

The revised version replaces the word “committed” with “intends,” stating that India intends to purchase over $500 billion worth of US energy, coal, information and communication technology, and other products.

Digital Services Tax Reference Removed

The revised fact sheet has also removed earlier language about India “removing its digital services taxes.” The previous version had indicated that India committed to addressing digital trade barriers, including taxes considered discriminatory by US officials.

The updated version states that both sides will negotiate bilateral digital trade rules to address trade barriers, without specifically mentioning tax removal.

India has already abolished the equalisation levy, often referred to as a digital services tax, which had been a point of concern for US trade representatives.

Pulses Issue and Farmer Concerns

The earlier mention of “certain pulses” had raised concerns among farmer groups about potential effects on domestic agriculture. However, the fact sheet did not specify which pulse varieties were included.

The United States mainly exports dried green lentils, which are generally priced higher than some varieties imported by India from other countries.

In 2024, US pulse exports to India were valued at approximately $74–76 million. India accounts for about 8–12 per cent of total US pulse exports, depending on trade conditions. India primarily imports pulses from Canada, Russia and Australia.

Following the earlier version of the document, farmer group Samyukta Kisan Morcha announced plans to participate in a nationwide strike called by trade unions on February 12, citing concerns related to the India-US trade agreement.

Ongoing Negotiations

The interim trade deal is part of broader economic discussions between the two countries. Officials from both sides have indicated that negotiations are continuing.

The revisions to the fact sheet suggest adjustments in language and scope, but formal details of the final agreement are still under discussion.

As talks progress, stakeholders across sectors, including agriculture, digital services and energy, are closely watching developments in the India-US trade relationship.