Farmers Seek Dairy Carve-Out in India-US Deal
Farmer groups in India have intensified opposition to the proposed India–US trade agreement, demanding a complete carve-out for agriculture and dairy sectors amid fears that duty-free imports could severely impact domestic producers. Leaders warned that allowing US agricultural and dairy products to enter India without import duties would act as a “death warrant” for farmers, given the cost disadvantages faced by Indian producers.
The concerns stem from the possibility of cheap, subsidised US farm and dairy imports flooding the Indian market, potentially undercutting local prices and affecting farmer incomes. Farmer organisations have also called for a legal guarantee of Minimum Support Price (MSP) and greater transparency in trade negotiations, while urging the government to hold an open discussion with stakeholders, including Union Agriculture Minister Shivraj Singh Chouhan.
The issue has triggered protests and mobilisations by farmer groups across the country, reflecting broader concerns about food security, rural livelihoods and market stability. While the government has maintained that sensitive sectors like dairy are being protected in negotiations, uncertainty remains over the final scope of tariff reductions and market access commitments under the deal.
Industry observers note that dairy remains a politically and economically sensitive sector in India due to its link to millions of smallholder farmers, making any potential liberalisation a high-stakes issue for both policymakers and the dairy industry.
Source: Dairynews7x7 21st March, 2026 Read full article here
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