India makes an offer to the US to resolve trade issues, says Suresh Prabhu

Followed by discussion and consultation with departments like IT and agriculture, India has made an offer to the US to resolve trade issues between the two countries. The news came after Union Minister Suresh Prabhu told PTI on April 3 that "We have consulted all the ministries and we have given them an offer.”

India has long been pressing the US for the removal of tariffs on its exports of aluminium and steel products, reconsidering export benefits to certain domestic products under Generalised System of Preferences (GSP), and greater market access for products from agriculture, automobile, automobile components, and engineering sectors.

The United States has also been demanding greater market access for its agricultural, dairy products, and medical devices besides seeking reduction in import duties on certain IT products and increasing exports to bridge trade deficit with India.

On further questions about the steps being taken to resolve trade issues with America, the commerce and industry minister refused to give away detail information.

Prabhu said India would like to buy about 1,000 aircraft from the world and the US could be one of the potential suppliers. In his opinion, this kind of procurement may change things with regard to the trade balance.

India’s exports to the US in 2017-18 were at US$47.9 billion, US$21.2 billion higher from the imports of US$26.7 billion. This puts India in more favourable position.

When asked about the visit of an official delegation from India to the US, Prabhu replied: "we have not yet decided".

Prabhu also replied about the reason for the continual extension of the deadline. He said since the US has not yet stopped the GSP benefits to Indian exporters the government is extending its retaliatory measures.