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NORTH AMERICAN Newsline DECEMBER 19, 2025 | The Indian Eye 18

US consumers to bear the burden of

higher tariff on Indian rice

OUR BUREAU ident Donald Trump, threatening to sued detailed clarifications on Indo– Gulf and South Asian regions. The
impose an additional tariff on Indian US rice trade dynamics. demand continues to grow, especial-
New Delhi
rice exports to the United States, ap- “The Indian rice export indus- ly for dishes such as biryani, where
he Indian Rice Exporters Fed- pear to be driven more by domestic try is resilient and globally competi- basmati rice is considered essential
eration (IREF) has said that political messaging than a major pol- tive,” said Dev Garg, Vice President, and not easily replaceable.
Tthe impact of US tariffs on icy shift. Indian Rice Exporters Federation. It emphasized that rice grown in
rice imports from India is likely to be The Global Trade Research Ini- “While the U.S. is an important the US is not a direct substitute for In-
passed on to American consumers, tiative (GTRI), an Indian think tank destination, India’s rice exports are dian basmati because of its distinct aro-
reflecting the product’s essential na- working in the field of trade, said the well-diversified across global mar- ma, flavour, texture, and elongation.
ture in the consumer basket. announcement made on December kets. The Federation, in close co- The statement added that before
It also stated that India will con- 8 alongside a new US farm relief ordination with the Government of the latest tariff hike, Indian rice al-
tinue to deepen trade partnerships package appears to be election-sea- India, continues to deepen existing ready faced a 10 per cent tariff, which
with other countries and expand new son communication targeted at U.S. trade partnerships and open new increased by 40 percentage points af-
markets for Indian rice. farmers. markets for Indian rice.” ter a 50 per cent tariff was imposed.
The Federation highlighted The think tank stated, “Trump According to IREF, during the Despite this, exports have not
that, “While the U.S. is an import- threatens to impose high tariffs on financial year 2024–2025, India ex- seen a major disruption, as most of
ant destination, India’s rice exports Indian rice. But the threat is politics, ported Basmati rice worth USD the cost increase has been passed on
are well-diversified across global not policy.” 337.10 million, totaling 274,213.14 to consumers through higher retail
markets. The Federation, in close The GTRI noted that even if metric tonnes (MT), making the US prices, while farmers and exporters
coordination with the Government fresh duties are imposed, the impact the 4th largest market for Indian in India continued to receive stable
of India, continues to deepen exist- on Indian exporters would be limited basmati. In the same period, India returns.
ing trade partnerships and open new due to strong demand in other mar- exported non-basmati rice valued The GTRI noted that India
markets for Indian rice….. Evidence kets. However, higher tariffs would at USD 54.64 million, amounting to should treat the tariff threat as an
from retail markets indicates that likely make rice costlier for Amer- 61,341.54 MT, making the US the 24th election-season strategy and avoid
most of the tariff burden has been ican households that rely on Indian largest market for non-basmati rice. offering concessions that could affect
passed on to U.S. consumers.” varieties. The Federation explained that its trade position, as such measures
However, experts also noted Responding to the remarks, the Indian rice in the US is largely con- could harm US consumers more
that the latest remarks by US Pres- Indian Rice Exporters Federation is- sumed by communities belonging to than Indian exporters.

Piyush Goyal to lead high-level delegation

to Canada next year

OUR BUREAU negotiations. Also agreed to lead a ness Chamber in New Delhi, Goyal 11 to 14 November 2025.
high-level trade and investment del- said that India sees considerable scope The visit followed the direction
New Delhi
egation to Canada in the new year”. for collaboration with Canada in provided by the Prime Ministers of
nion Minister of Commerce The meeting comes as bilater- critical minerals, mineral processing the two countries during their bilat-
and Industry Piyush Goyal al trade between India and Canada technologies, clean energy, nuclear en- eral meeting on the sidelines of the
Uheld a discussion with Cana- continues to gain momentum. ergy and supply-chain diversification. G7 meeting in Kananaskis, Cana-
da’s Minister of International Trade He highlighted that India offers da, and the Foreign Ministers Joint
Maninder Sidhu to advance bilateral As per the Ministry of Com- strong advantages in emerging tech- Statement “Renewing momentum
trade and commercial engagement merce & Industry, the bilater- nologies such as artificial intelligence, towards a stronger partnership” of
between the two countries and an- quantum computing, machine learn- October 13, which identified trade as
nounced plans to lead a high-level al trade in goods and services ing and next-generation data centres, the cornerstone of bilateral econom-
trade and investment delegation to reached USD 23.66 billion in supported by the world’s largest an- ic growth and resilience.
Canada in the new year. nual pool of STEM graduates. During the visit, the two trade
In a social media post, Goyal 2024, with merchandise trade He added that Canada and In- ministers held the 7th edition of the
said he held a productive discussion valued at nearly USD 8.98 bil- dia are natural allies whose comple- Ministerial Dialogue on Trade and
with Minister Sidhu to advance the mentary strengths create significant Investment (MDTI).
trade and commercial engagement lion, marking a substantial 10 opportunities for businesses and in- The Canadian ministers reaf-
with Canada. per cent increase over the pre- vestors in both countries. firmed the strength and continuity of
He stated, “We undertook initial Before this engagement, Cana- the India-Canada economic partner-
scoping and broad discussions on the vious year. da’s Minister of Export Promotion, ship and reiterated their commitment
overall approach, contours, macro International Trade and Economic to deepening bilateral cooperation
objectives and modalities as part of Earlier, on November 24, while Development, Maninder Sidhu, un- through sustained dialogue, mutual re-
preparations for the launch of CEPA addressing the Indo-Canadian Busi- dertook an official visit to India from spect and forward-looking initiatives.

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