Uttar Pradesh Chief Minister Yogi Adityanath Welcomes Landmark US-India Trade Agreement
In a significant development for India's economic landscape, Uttar Pradesh Chief Minister Yogi Adityanath has publicly welcomed the newly revealed details of the US-India trade deal. The Chief Minister took to social media platform 'X' on Saturday to express his support, describing the agreement as a "decisive step forward for India's economic interests."
Leadership and Strategic Framework
In his message, which tagged US President Donald Trump, CM Adityanath extended his gratitude to Prime Minister Narendra Modi. He emphasized that it was under PM Modi's leadership that India successfully established a framework for an interim trade agreement with the United States. "This agreement will expand global opportunities for Indian exporters and MSMEs, while firmly protecting India's agriculture sector, food security and the interests of our farmers and rural economy," the Chief Minister stated.
Furthermore, he acknowledged Union Minister for Commerce and Industry Piyush Goyal for his "commendable efforts in steering a balanced, reciprocal and India-first agreement." According to Adityanath, this deal is designed to boost exports, strengthen the 'Make In India' initiative, safeguard sensitive agricultural and dairy sectors, and create employment opportunities for women and youth across the nation.
Transformative Impact on Uttar Pradesh's Industries
The Uttar Pradesh government believes this trade agreement will have a profound impact on the state's economy. A government spokesperson outlined several key benefits:
- Textile and Apparel Sector: A reduction in American tariffs on textile and apparel products, along with zero-duty status for silk-based products, is expected to revitalize the Bhadohi-Mirzapur carpet sector. This sector has been struggling with price competition in the American market due to high import duties.
- Varanasi Silk and Handloom: With zero-duty benefits mentioned in the joint statement, Varanasi's renowned silk and handloom sector is poised to gain enhanced access to the lucrative American market.
- Competitive Advantage: Reduced duties on products like readymade garments, man-made textiles, and cotton textiles could provide Uttar Pradesh with a cost advantage over competing nations such as China, Vietnam, and Bangladesh.
Broad Sectoral Benefits Across the State
The agreement's tariff reductions extend to multiple other industries within Uttar Pradesh:
- Leather and Footwear: The Kanpur-Agra leather and footwear industry is set to benefit significantly from lower tariffs.
- MSMEs and Artisan Industries: Small and medium enterprises, along with home décor and artisan-based industries, will experience improved market access and competitiveness.
- Agricultural Exports: The proposal for zero duty on select agricultural products and processed food exports presents a major opportunity for Uttar Pradesh's agriculture-based economy. Key products like mangoes, potatoes, tomatoes, peas, green vegetables, and spices could see increased export volumes.
Boosting Industrial and Technological Development
The trade deal also includes provisions for zero or minimal additional duty on pharmaceuticals, generic drugs, active pharmaceutical ingredients, machinery, and auto components. This is anticipated to accelerate industrial development in Uttar Pradesh.
"Pharma and manufacturing clusters in Noida-Greater Noida, Ghaziabad, Lucknow, and the Bundelkhand region are developing rapidly," the official noted. "Tariff relief can provide these units with better access to the American market as well as an opportunity to increase the share of Indian products in the global supply chain."
Additionally, the agreement is expected to have a direct positive impact on Uttar Pradesh's emerging IT, electronics, and data centre ecosystem, further diversifying the state's economic portfolio and enhancing its integration into global value chains.
