India is unlikely to take on commitments till the tariff scenario in the US unfolds
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Kagenmi
Ahead of the visit of the US trade negotiating team to India next week, the Commerce Department is compiling afresh details of various non-tariff barriers (NTBs), such as various quality standards, technical regulations and testing requirements, that limit market access in the US despite lower duties, sources said.The Commerce Department, this week, sought details from the industry on NTBs affecting trade with the US, as well as other major trade partners, the UK, the EU and New Zealand, with which India is expected to implement/seal free trade agreements (FTAs) soon.US team coming“The US team led by the chief negotiator will be in New Delhi to take forward the talks for the bilateral trade agreement (BTA). It is important for India not to just gain tariff concessions but also get the various NTBs addressed to the best extent possible as they can impede market access even when tariffs are zero. That is why the Commerce Department sought inputs from the industry once again on these measures,” a source tracking the matter told businessline.The industry was specifically asked to explain the nature of the barrier or the relevant regulatory or technical requirements and also give instances of how the measures were affecting market access, the source pointed out.While India has been discussing redressal of NTBs in its negotiations with the US and other countries, the situation is evolving and new measures keep coming up. Some NTBs that hurt Indian exporters to the US include high approval costs for sectors such as pharmaceuticals, complex certification requirements, regulatory delays, stringent sanitary & phytosanitary measures for agricultural products, various technical barriers and `buy American’ procurement policy that limits access to government contracts.“The more specific is the identification of the NTB and the way it is impeding market access, the better can negotiators take up the problems with the other team,” the source explained.The US, too, identified several NTBs faced in India in the US Trade Representative’s latest 2026 National Trade Estimate (NTE) report on foreign trade barriers. The report criticised various NTBs in India including import bans, restrictions, licensing requirements on certain goods, mandatory Quality Control Orders (QCOs), customs barriers, price control on medical devices, and mandatory domestic testing and certification requirements for equipment.The US has indicated that it wants an early interim trade deal with India and it may make efforts to push negotiations towards a final conclusion during next week’s negotiations.More cautiousIndia, however, is more cautious and is unlikely to take on commitments till the tariff scenario in the US unfolds and it is sure of the advantages it gains over its competitors.After the US Supreme Court gave its verdict on February 20 this year invalidating the reciprocal tariffs imposed by the Trump regime on its trade partners including India, most countries are facing similar tariffs.Published on May 28, 2026
