India Rules Out Dairy Market Opening in Future Trade Deals: Piyush Goyal

India has reiterated its firm position on protecting the domestic dairy industry in international trade negotiations, with Commerce and Industry Minister Piyush Goyal stating that the country will not open its dairy sector to foreign markets under free trade agreements (FTAs).

Speaking to students at Kirori Mal College in New Delhi on November 3, 2026, Goyal also reaffirmed India's opposition to genetically modified (GM) product imports, describing dairy and GM-related issues as highly sensitive areas of national trade policy.

India Maintains Dairy Sector Protection

Goyal emphasised that India has consistently kept dairy outside the market-opening commitments of its trade agreements.

According to the minister, the government has prioritised the interests of domestic farmers, fishermen and micro, small and medium enterprises (MSMEs) while negotiating trade arrangements.

The statement reinforces India's approach of seeking greater access for its competitive export sectors while maintaining safeguards for sensitive agricultural industries.

India Reaffirms Opposition to GM Product Imports

The minister stated that India has never permitted GM product imports and would continue to maintain that position.

His remarks are particularly relevant to ongoing India–US trade discussions, where the United States has been pushing for improved market access for agricultural and genetically modified products.

The US Trade Representative has previously criticised India's dairy import requirements, describing them as barriers to American dairy exports.

Religious Sensitivities Remain Central to Dairy Import Rules

Goyal also highlighted religious sensitivities associated with dairy production practices in some foreign markets.

He referred to the use of calf-derived rennet in cheese manufacturing and stressed the importance of strict certification to ensure imported dairy products comply with India's requirements.

India's dairy import framework includes certification conditions concerning animal feed and production practices, which have been a point of disagreement in international trade discussions.

What This Means for India's Dairy Industry

The minister's statement signals continued policy support for India's domestic dairy ecosystem, including farmers, cooperatives and milk processors.

For the industry, maintaining dairy-sector protection could help preserve domestic market access for Indian producers while limiting competitive pressure from large international dairy exporters.

However, dairy market access remains a contentious issue in trade negotiations, particularly with the United States, which continues to seek greater opportunities for its dairy products in India.

The key takeaway: India is pursuing export opportunities in global markets while reiterating that dairy-sector protection and GM product restrictions remain firm priorities in its trade policy.

Source: Read full story here 04 Nov, 2026 Edited and Reported by

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