India eyes WTO-safe measures to protect dairy from US impact

India plans to use World Trade Organization (WTO)-safe non-tariff barriers (NTBs) to shield its dairy sector from U.S. market access as part of the ongoing bilateral trade negotiations aimed at more than doubling two-way commerce to 500 billion dollars by 2030, a senior government official said.

“Some items like dairy will be caught in NTBs for India,” the official told Moneycontrol, adding that the customs department is working closely with the commerce ministry to ensure sensitive sectors such as dairy and agriculture are protected.

The negotiations with the United States come at a time when President Donald Trump, in his current term, announced a 26 percent tariff on U.S. imports from India last week. The move has raised concerns among Indian exporters, even as New Delhi explores deeper bilateral ties across other sectors.

According to the official, the Indian government is hoping to exclude dairy from the trade deal by invoking NTBs tied to food safety and cultural standards, particularly due to the possibility that American cattle may be fed non-vegetarian feed, which goes against Indian norms.

"This gives India a legitimate ground to keep dairy out of the agreement, while still offering concessions in other areas,” the official said.

Source : Dairynews7x7 April 9th 2025 Money control