The US exempted Indian tea, coffee, spices, and cashew nuts from tariffs, giving a boost to farm exports and easing pressure on trade talks.
Indian agricultural exporters will benefit after US President Donald Trump exempted dozens of food items from tariffs. Products such as tea, coffee, spices, and cashew nuts, previously hit with duties of up to 50%, are included in the exemptions.
Ajay Sahai, director general of the Federation of Indian Export Organisations (FIEO), said the move could help USD 2.5 — USD 3 billion of exports. He added that it opens opportunities for higher-value, speciality, and value-added products.
“This order protects exporters from price pressures and allows them to meet growing consumer demand,” Sahai said.
Trade officials also welcomed the decision, saying it is a positive signal for ongoing US–India trade talks and could ease the pressure caused by recent tariff increases. Indian exports to the US fell nearly 12% in September to USD 5.43 billion after the duties were raised.
Trump removed tariffs on more than 200 food products, including beef, as US consumers face rising grocery prices. Indian farm exports, estimated at USD 5.7 billion of India’s USD 87 billion shipments to the US in 2024, are among the main beneficiaries.
