🔗 Share this article

The country and the US are conducting a lengthy negotiations, sparking hope that paused talks on a trade deal will quickly continue.

A delegation led by a US trade negotiator is in the capital to confer with officials from the Indian economic authority.

The Indian side clarified that the discussion does not signal the start of the following session of talks, labeling it a "exchange" about "trying to see" how an deal can be finalized.

Talks on a trade deal had paused after the US President enforced hefty tariffs on imports, partly as a penalty for Delhi's acquisition of imports from Russia. The nation has justified its choice, citing local power demands, and labeled the tariffs "unfair".

The significant tariffs, along with strong criticism of India by the American leader and top aides, have led to a quick and surprising weakening in ties between the allies.

India is a major supplier of products, including clothing, seafood and gems and jewellery to the United States, and the tariffs have already affected output and jobs.

So the day’s discussions between Indian and US officials is being closely watched.

"This isn't an formal session of talks but it will undoubtedly be a exchange on the trade talks and on attempting to determine how we can achieve an pact between the two nations," the head of the Indian delegation told local media.

A phase of negotiations was postponed last month following the tariff announcement and India's refusal to stop buying imports from Russia.

But over the recent period, hopes have increased – US administration officials have sounded more cooperative, and India has affirmed that the discussions are still proceeding.

On Monday, a American commerce official stated: "India is coming to the table. We will determine how this works."

Via a social media exchange between the US President and the Indian Prime Minister, the former said that the two countries were "moving forward with discussions to tackle the trade barriers" between them. Answering, the Prime Minister echoed the hopeful tone and said the two countries were "strong allies and ideal allies."

A designated representative for the next US ambassador to India also remarked that the trade deal "should be settled in the near future".

"We are not that far apart right now on the pact. In fact, they're discussing the nitty-gritty of the agreement," he said during a official review last week.

But it continues to be seen how the governments resolve key disagreements that had earlier hindered a bilateral agreement from being finalized.

Agriculture and milk products, in particular, are major challenges.

For an extended period, The US has pushed for increased entry to the nation’s agricultural industry, seeing it as a substantial unexplored market. But The nation has strongly defended it, citing domestic sustenance, jobs and the welfare of millions of local agriculturists.

Last week, a US Commerce Secretary repeated his earlier criticism of the nation’s strong protections, asking why a country of over a billion citizens wouldn't "purchase one unit of corn from the United States".

But domestic commentators have argued that the nation shouldn't succumb to pressure to expand its farm sector, keeping independent policy and food security in mind.