India refuses to USA proposal to invest in the agriculture sector. / myLot

Raurkela, India

July 8, 2025 9:48am CST

I think India has taken the right decision by refusing USA to invest in the agriculture sector. Had India agreed to USA's proposal, the price of vegetables and fruits would have increased which could not be afforded by the common man of India. Farmers who do not cultivate in large scale will be wiped off from the scenario. Their land may get acquired by the foreign investors. It's from these small scale farmers that we get vegetables at a cheap rate. All imported fruits and vegetables are very costly in India. Some are avocado, zucchini, pears, apples and so on.

4 people like this

3 responses

vikingswest

@Vikingswest1 (6457)

• United States

22h

The truth is the opposite. The US wants access to the markets in India for sales of produce and farm products. The prices are cheaper than Indian farmers prices. The fear being the US would force many small farmers out of business. The US also uses GMO's in production. This is why Modi refuses to negotiate with agriculture on the table. The Indian farmers can't compete with the large American farms. It's a difficult dilemma for India. You want access to American markets for your goods because you can sell items at a reduced cost to Americans but you don't want to grant access to America's products that would sell at a reduced cost to Indians. Honest? You're going to have to cave and allow America access to your markets or face a tariff on your own goods in American markets. If India refuses American agriculture products, which may be the best choice for Indian farmers, a tariff will be placed on item Indias manufacturers sell in American markets. You'll still have access to American markets for goods, there will just be an added tariff. That added amount may make the products more expensive than competing manufacturers, causing diminished sales on Indian products. It's a complex issue. The US is just trying to balance the trade deficit and establish fair trade policies.

1 person likes this

Anindita Sengupta

@aninditasen (17216)

• Raurkela, India

Just now

Something that's produced at home is much cheaper than those imported ones. We already have some fruits in our Indian market which are quite expensive. The dry fruits from Kashmir are much cheaper than those imported ones.

1 person likes this

vikingswest

@Vikingswest1 (6457)

• United States

Just now

@aninditasen Not in every case. That's the sticking point in the negotiations. American agriculture products can be produced and sold as a less expensive choices over home grown commodities. Modi is trying to protect farmers in India by not allowing American products to be sold in Indian markets. The US wants access to the markets or they will charge a tariff on Indian goods sold in US markets. If American products were more expensive than home grown products, the Indian consumer would choose the less expensive product made at home. The truth is that American farms can produce products for less than Indian farms. THAT'S what threatens the Indian farmers.