India Inc expects 'mini' trade agreement during Trump's visit

NEW DELHI: India Inc expects tangible results from the president of the United States Donald Trump The inaugural visit of the fifth largest economy in the world at the end of this month, which includes a bilateral mini trade agreement and major investment commitments from US companies, industry groups said Sunday.

The two countries are negotiating a commercial package to solve certain problems and promote bidirectional trade.

India requires the exemption of high tariffs imposed by the US. UU. For certain steel and aluminum products, the resumption of export benefits to certain national products under the Generalized System of Preferences and greater market access for their products from sectors such as agriculture, the automobile, automobile components and Engineering.

On the other hand, USA UU. It wants greater market access for its agricultural and manufacturing products, dairy products and medical devices, location of data and cutting import tariffs for some information and communication technology (ICT) products. The United States has also expressed concern about the high trade deficit with India.

Expectations remain high to achieve a bilateral mini trade agreement, which hopefully sets the stage for a more comprehensive economic partnership.

As the Indian industry improves its investment and job creation in the United States, we expect President Trump to interact with the major Indian companies operating in the United States, said the director general of the Confederation of Indian Industry (IIC) ), Chandrajit Banerjee.

Trade negotiators from India and the United States have been working hard to add value to the bilateral economic commitment, taking advantage of their mutual advantages. As Prime Minister Narendra Modi receives Trump at a national reception, the two leaders would give a decisive boost to bilateral ties, said Assocham Deepak Sood Secretary General.

At the invitation of Prime Minister Modi, Trump is scheduled to travel to India on February 24 and 25. According to sources, Trump will meet with the country's leading business leaders here on February 25 in an attempt to boost deeper commercial and commercial ties.

A round table of the CEO will be organized to facilitate a meeting between the president of the United States and corporate honors in the national capital. Senior bureaucrats are also expected to attend the meeting, in addition to senior executives of US corporations.

Leaders such as Reliance Industries CMD Mukesh Ambani, Bharti Airtel President Sunil Bharti Mittal, Tata Sons President N Chandrasekaran, Mahindra Group President Anand Mahindra, Larsen and Toubro President AM Naik and Biocon CMD Kiran Mazumdar Shaw are expected to attend the round table meeting with Trump said one of the sources, adding that the U.S. Embassy in New Delhi is coordinating the event, while the list of attendees has been shared with the White House for approval.

Research conducted by IIC shows that at least 100 Indian companies have invested almost $ 18 billion and created more than 1.13,000 jobs in the United States.

There have been several recent announcements from Indian companies, which have demonstrated the growing impact that Indian investment can have on the economy and society of the United States, and we expect it to increase. Similarly, we expect even greater investment commitments from US companies in India, Banerjee said. observed.

The majority of US Fortune 500 companies have an overwhelming presence in India, while leading Indian corporations in manufacturing and services have expanded their presence in the US market. When it comes to goods, the United States is finding greater market access in India, as reflected in commercial data, Sood said.

In 2018-19, India's exports to the US UU. They amounted to $ 52.4 billion, while imports were $ 35.5 billion. The trade deficit dropped from $ 21.3 billion in 2017-18 to $ 16.9 billion in 2018-19.

India received FDI worth $ 3.13 billion from the United States in 2018-19, more than $ 2 billion in 2017-18.