New Delhi, February 3 (IANS). Major industry organizations of the country said on Tuesday that the India-US trade deal will increase the global competitiveness of Indian products. Besides, this will boost the manufacturing sector, create new jobs and create a strong supply chain.
America has immediately reduced the reciprocal tariff on Indian products from 25 percent to 18 percent. Apart from this, the additional 25 percent tariff imposed on India for purchasing oil from Russia has also been removed.
CII (Confederation of Indian Industry) President Rajeev Memani said that reducing the tariff between India and America to 18 percent is a big and positive step for the strategic economic partnership of the two countries.
He said that the India-US trade deal shows that both the countries want to further strengthen trade, technology and investment relations. He expressed hope that the businessmen of both the countries will work together to implement this agreement, which will benefit trade and lead to long-term economic development.
At the same time, PHDCCI President Rajeev Juneja said that by reducing tariffs, America has shown its commitment towards open trade and economic strength.
He said that reducing the tariff will reduce the cost of industries, strengthen the supply chain and also have an impact on inflation. This will provide relief to both companies and common consumers. Also, sectors like manufacturing, technology, healthcare and renewable energy will get direct benefits from it.
Rajiv Juneja also said that this decision reflects the good personal relations between Prime Minister Narendra Modi and US President Donald Trump. This will increase trust between the two countries and trade will become more stable.
AEPC Chairman Dr. A. Shaktivel said that this decision is a very good and timely step for the Indian textile industry. Earlier, up to 50 percent tariff was imposed on Indian clothes in America, due to which this industry was under pressure.
He said that America is India’s biggest export market. Better trade terms will increase demand for Indian textiles in the US, which will boost exports, attract new investments and strengthen India as a reliable global supplier.
Dr. Shaktivel said that the textile industry is one of the highest employment generating sectors in the country. With this decision, existing jobs will be protected and new jobs will be created especially for women and people doing labour-based work.
–IANS
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