← All news

US–India Interim Trade Deal Eliminates or Reduces Tariffs on US Agricultural Food Products Into a 1.4-Billion-Person Market

On February 9, 2026, the White House announced a framework US–India Interim Trade Agreement in which India committed to eliminate or reduce tariffs on a wide range of US food and agricultural exports — including tree nuts, fresh and processed fruit, dried distillers' grains, soybean oil, wine, and spirits — while the US agreed to reduce the Reciprocal Tariff on India from 25% to 18%. (White House Fact Sheet) The deal opens India's market of 1.4 billion consumers to greater US food and agri-food product access, addressing India's historically high agricultural tariffs (averaging 37% on US goods) and non-tariff barriers that have blocked many US food categories. (Reuters) Both governments committed to promptly implement the framework and conclude a broader Bilateral Trade Agreement (BTA).

Aurelane’s read

Lower US tariffs into India will reshape the competitive set for any brand currently exporting tree nuts, processed foods, wine, or spirits into the Indian market from ASEAN, the GCC, or Latin America. The framework is interim; the broader Bilateral Trade Agreement is still being negotiated. But brands waiting for full ratification will be behind US competitors who are already requalifying SKUs and adjusting landed-cost models against the new rate structure.

Sources

  1. White House Fact Sheet – The United States and India Announce Historic Trade Deal
  2. Reuters – India-US Trade Deal Slashes Tariffs; Seen Lifting Exports
  3. Bloomberg – India Partially Opens $580 Billion Agri Sector to Secure US Deal

Working through this in your own market?