New Delhi [India], February 7 (ANI): Union Minister for Commerce and Industry, Piyush Goyal, on Saturday hailed the zero duty on gems and diamonds exported from India to the United States as the two nations announced a framework for the Bilateral Trade Agreement.

Addressing a press conference, the Union Minister said that several Indian goods will attract zero duties on export, including pharmaceutical products and smartphones.

Goyal said, 'There are several items on which zero duty will now be levied when our exporters send goods to the United States of America. For example, zero duty will be applied to gems and diamonds. Pharmaceutical products, which are exported from India in large quantities, will also be subject to zero duty. Smartphones, which are exported from India to the US in large numbers, will continue to have zero duty. In this way, there are numerous such items on which zero duty will be levied in the future.'

'In the agricultural sector as well, there are many items that will be exported from India to the US on which a zero reciprocal tariff will be applied, meaning the additional duty will be zero. For example, spices, tea, coffee and products made from them, coconut and coconut oil, vegetable wax, areca nut, Brazil nut, cashew nut, and chestnut. Many fruits and vegetables are also included,' he added.

The US and India announced in a joint statement that they have reached a framework for an Interim Agreement on reciprocal, mutually beneficial trade (the Interim Agreement) and have agreed on its terms.

According to the joint statement by the Ministry of Commerce and White House, the United States will apply a reciprocal tariff rate of 18 per cent on goods originating in India, including textiles and apparel, leather and footwear, plastic and rubber, organic chemicals, home decor, artisanal products, and certain machinery.

Subject to the successful conclusion of the Interim Agreement, the US will remove the reciprocal tariff on a wide range of goods identified in the Potential Tariff Adjustments for Aligned Partners Annex to Executive Order 14346 of September 5, 2025 (Modifying the Scope of Reciprocal Tariffs and Establishing Procedures for Implementing Trade and Security Agreements), as amended, including generic pharmaceuticals, gems and diamonds, and aircraft parts.

Earlier on February 5, as the two nations announced the deal, Kirit Bhansali, Chairman of the Gems and Jewellery Export Promotion Council (GJEPC), stated that the agreement will provide much-needed relief to a sector that has struggled with high tariffs over the last year. He noted that the US remains the most critical market for Indian exports, and the deal is expected to reverse a sharp decline in trade volumes. (ANI)