India–US Interim Trade Agreement Agriculture Impact on Cotton, Maize & Apples | UPSC GS3

Context

The Samyukt Kisan Morcha (SKM) alleged the India–U.S. interim trade agreement harms farmers by reducing import duties and exposing Indian agriculture to cheaper foreign produce.

Key Agricultural Concerns

1) Cotton
• 11% cotton import duty withdrawn (Aug 19, 2025) → surge in cheap U.S. cotton imports.
• Domestic cotton prices crashed, hurting 55 lakh cotton-farming families.

2) Maize
• Interim deal allows import of DDG (dried distillers grain) from the U.S.
• Large DDG inflow would depress maize prices, impacting 120 lakh corn farmers.

3) Apples
• Lowered import duties and relaxed terms under the deal have led to increased U.S. apple imports.
• This has put price pressure on domestic apple growers, especially in Himachal Pradesh & Kashmir.

PYQ – 2024, Ans – D
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India–US Interim Trade Agreement Agriculture Impact on Cotton, Maize & Apples | UPSC GS3

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