Dive Brief:
- India will cut tariffs on some U.S. fruit and poultry products, the second trade agreement reached between the countries in the past three months.
- Tariffs on frozen duck and turkey will be eased, as will duties on frozen, fresh, dried or processed blueberries and cranberries, the U.S. Trade Representative said.
- The deal is expected to increase U.S. export opportunities to the world's most populous nation. India announced in June that it would lift retaliatory tariffs on U.S. apples, chickpeas, lentils, almonds and walnuts, an agreement that went into effect this week.
Dive Insight:
The move to ease poultry tariffs ends the last outstanding trade dispute between the U.S. and India, and comes as the two countries look to deepen trade ties following a tumultuous relationship under the Trump administration.
“Resolving this last outstanding WTO dispute represents an important milestone in the U.S.-India trade relationship, while reducing tariffs on certain U.S. products enhances crucial market access for American agricultural producers,” U.S. Trade Representative Katherine Tai said in a statement.
The agreement eliminates a retaliatory tariff on frozen U.S. whole turkeys and turkey parts, while reducing the base tariff from 30% to 5%. The duty on duck imports is also reduced to 5%.
For years, U.S. exporters have pushed for greater access to India, which has maintained complicated trade restrictions to stabilize market prices and support domestic production. Poultry industry advocates say the significant reduction in tariffs will open new market opportunities, though noted there are still barriers to overcome.
"The lowering of tariffs on turkey meat and for some duck exports is a great success," Greg Tyler, CEO and president of the USA Poultry & Egg Export Council, said in a statement. "We hope that in the future we are able to gain better access for chicken and to expand access for duck as well, which can help to further address the protein needs of Indian consumers.”