New Dehli:Indian Prime Minister Narendra Modi said on Thursday he will not compromise the interests of the country’s farmers even if he has to pay a heavy price for it, in his first comments after US President Donald Trump’s salvo of a 50% tariff on Indian goods.Trump announced an additional 25% tariff on the South Asian nation on Thursday, taking the total levy on Indian goods being exported to the US to 50% — among the highest levied on any US trading partner.
“For us, our farmers’ welfare is supreme,” Modi said in a function in New Delhi. “India will never compromise on the well-being of its farmers, dairy sector and fishermen. And I know personally I will have to pay a heavy price for it,” he said.Trade talks between India and the United States collapsed after five rounds of negotiations over disagreement on opening India’s vast farm and dairy sectors and stopping Russian oil purchases.
Modi did not directly refer to the US tariffs or trade talks.The new tariff, effective from Aug. 28, was to penalise India for its purchase of Russian oil, Trump has said. India’s foreign ministry has said the decision was “extremely unfortunate,” and that “India will take all necessary steps to protect its national interests.”
The US is yet to announce any similar tariff for China, which is the biggest buyer of Russian oil. Experts have said China has been spared so far as it has a bargaining chip with the US over its reserves of rare earth minerals and other such commodities, which India lacks.
“The US tariff hike lacks logic,” Dammu Ravi, secretary of economic relations in India’s foreign ministry, told reporters.
“So this is a temporary aberration, a temporary problem that the country will face, but in course of time, we are confident that the world will find solutions.”