New Delhi (Economy India): Congress leader Rahul Gandhi on Saturday accused the central government of cheating India’s cotton farmers and textile exporters through the India–US interim trade deal, warning that the agreement could cause long-term damage to both sectors.
In a post on X, the former Congress president said the government failed to protect domestic interests while negotiating tariffs with the United States, calling the agreement deeply unfair to Indian producers.
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‘18% Tariff vs 0%’: Allegation of Unequal Terms
‘18% Tariff vs 0%’: Allegation of Unequal Terms
Rahul Gandhi pointed out what he described as a stark tariff imbalance, stating that Indian cotton and textile products face an 18 per cent tariff, while competing imports enjoy zero-duty access under the interim trade arrangement.
“A visionary government would have negotiated a deal that protected cotton farmers and ensured global competitiveness for textile exporters. Instead, confusion is being spread and livelihoods are being put at risk,” Gandhi said.
According to Gandhi, cotton farmers could face lower domestic prices due to increased import pressure, while textile exporters may lose competitiveness in global markets, particularly in the US — one of India’s largest textile destinations.
He also accused the government of failing to consult key stakeholders, including farmer organisations and industry bodies, before finalising the trade terms.
Political Row Over Trade Policy
The remarks add to the growing political debate over India’s trade strategy, with the Indian National Congress demanding greater transparency in bilateral trade negotiations.
The government has not yet issued an official response to Gandhi’s allegations. However, officials have earlier maintained that the India–US trade engagement aims to boost exports and strengthen strategic economic ties.
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