<p><em>By Satviki Sanjay</em></p><p>A successful trade deal with the US could help India mitigate external risks and boost its exports, the South Asian country said, as its government seeks to speed up talks and reach an interim agreement. </p><p>“A successful US-India trade agreement could flip current headwinds into tailwinds,” the finance ministry said in its monthly economic review Tuesday. “The risk of renewed trade barriers remains a key external vulnerability.”</p><p>External risks for India persist, primarily from the 26 per cent US tariff on Indian imports even as a temporary suspension is in place, it said. </p><p>India is currently discussing a US trade deal structured in three tranches, <em>Bloomberg News</em> reported, with an interim agreement expected by July. Commerce Minister Piyush Goyal was in Washington on a four-day trip last week and said in a post on X he had “good discussions” with US Commerce Secretary Howard Lutnick. </p>.Trump extends deadline to reach EU trade deal until July 9.<p>India said its economic activity as well as external sector performance appear to remain resilient in April. The government’s income tax exemptions announced in its annual budget, along with a 50 basis point cut in interest rates by the central bank, should also further stimulate consumption and accelerate recovery. It could lift growth toward the upper end of forecasts of 6.3 per cent to 6.8 per cent, the ministry said. </p><p>The country also expects its food inflation outlook to be “benign” due to a good crop harvest and a healthy procurement of food grains, along with a forecast for an above-normal monsoon. </p>
<p><em>By Satviki Sanjay</em></p><p>A successful trade deal with the US could help India mitigate external risks and boost its exports, the South Asian country said, as its government seeks to speed up talks and reach an interim agreement. </p><p>“A successful US-India trade agreement could flip current headwinds into tailwinds,” the finance ministry said in its monthly economic review Tuesday. “The risk of renewed trade barriers remains a key external vulnerability.”</p><p>External risks for India persist, primarily from the 26 per cent US tariff on Indian imports even as a temporary suspension is in place, it said. </p><p>India is currently discussing a US trade deal structured in three tranches, <em>Bloomberg News</em> reported, with an interim agreement expected by July. Commerce Minister Piyush Goyal was in Washington on a four-day trip last week and said in a post on X he had “good discussions” with US Commerce Secretary Howard Lutnick. </p>.Trump extends deadline to reach EU trade deal until July 9.<p>India said its economic activity as well as external sector performance appear to remain resilient in April. The government’s income tax exemptions announced in its annual budget, along with a 50 basis point cut in interest rates by the central bank, should also further stimulate consumption and accelerate recovery. It could lift growth toward the upper end of forecasts of 6.3 per cent to 6.8 per cent, the ministry said. </p><p>The country also expects its food inflation outlook to be “benign” due to a good crop harvest and a healthy procurement of food grains, along with a forecast for an above-normal monsoon. </p>