3 Things

Red lines in trade talks, India’s widest tunnel, and Bihar voters get relief

5 snips
Jul 7, 2025
In this conversation, Harish Damodaran, the National Rural Affairs and Agriculture Editor at The Indian Express, tackles the thorny negotiations over the India–US trade deal, spotlighting agricultural tensions. He reveals the complexities surrounding tariffs and essential crops like maize. The discussion also takes a turn to Rajasthan's ambitious tunnel project, outlining its geological challenges and environmental concerns. Finally, the troubling electoral roll revisions in Bihar raise critical issues about voter disenfranchisement just before the elections.
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INSIGHT

Why Agriculture is the Make-or-Break Issue in India-US Trade Talks

Agriculture is the biggest stumbling block in the India-US trade deal negotiations, with corn, dairy, ethanol, and soybean being the main contentious products.

India wants to preserve its agricultural market for over a crore farmers growing sensitive crops like soybean, maize (corn), and dairy, while the US pushes for greater access for its genetically modified products.

Cultural factors also play a critical role: India prohibits genetically modified maize and soybean and dairy imports from animals fed animal-origin feed, making it unlikely to open dairy markets.

The US aims to leverage agriculture to open other markets but might accept a partial deal excluding sensitive agricultural items to avoid reciprocal tariffs.

This trade tension stems from economic, political, and cultural differences, with the US seeking new buyers due to its trade war with China and India defending its agricultural interests.

INSIGHT

Agriculture Holds Trade Talks Back

  • Agriculture is the major sticking point in India-US trade talks.
  • India resists opening its agriculture market while the US pressures for access to key American products.
INSIGHT

India's Agricultural Red Lines

  • India's red lines in agriculture include soya bean, maize, and milk due to economic, political, and cultural reasons.
  • India prohibits genetically modified maize and soya bean and rejects dairy products from animals fed with animal-origin feed.
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