PM Modi Stands Firm Amid US Trade Pressure: ‘Ready to Pay the Price, No Compromise on Farmers’

PM Modi Asserts No Compromise on Farmers Amid Rising US Trade Pressure

Amid increasing tensions in Indo-US trade talks, Prime Minister Narendra Modi strongly affirmed that India would not compromise on the interests of its farmers, fishermen, and livestock rearers—even if it comes at a personal cost. Speaking at the M.S. Swaminathan Centenary International Conference in New Delhi, PM Modi declared, “I know I will have to pay a huge price, but I am ready for it.” He emphasized that protecting the welfare of farmers is the government’s top priority and a foundational element of India’s progress.

This firm stance comes as the United States has demanded zero-duty access to Indian markets for its agricultural and dairy products as part of ongoing trade negotiations. Meanwhile, India continues to import crude oil from Russia, which has also become a point of contention. In response, US President Donald Trump imposed an additional 25% tariff on most Indian exports, including shrimps—a significant Indian export—raising total duties to 50% on selected goods.

India has made it clear that agriculture and dairy remain non-negotiable sectors in trade talks. Citing principles and food security concerns, New Delhi rejected Washington’s demand for market access to genetically modified (GM) crops, such as corn and soya, labeling GM imports as unacceptable. Indian officials reiterated that some areas, particularly agriculture, are protected based on national values and public health.

The White House justified the tariff hikes by citing a national emergency triggered by Russia’s invasion of Ukraine, blaming India’s “direct or indirect” imports of Russian oil. An executive order stated that the 25% penalty was necessary and would come into effect after a 21-day buffer period, following reciprocal Indian tariffs announced on August 1.

The increased tariffs have raised concerns for India’s export competitiveness, especially as regional rivals like Vietnam, Bangladesh, and China enjoy more favorable trade terms with the US. In response, India condemned the US action as “unfair, unjustified, and unreasonable.” The Ministry of External Affairs (MEA), through spokesperson Randhir Jaiswal, defended India's oil purchases from Russia, stating they are driven by market conditions and aimed at ensuring energy security for 1.4 billion Indians.

MEA further criticized the discriminatory nature of US actions, noting that European countries and China also import Russian oil but have not faced similar punitive measures. India views the additional tariffs as unilateral and damaging to the spirit of fair trade.

The Indian government vowed to take all necessary steps to protect national interests, sovereignty, and the livelihoods of its citizens. PM Modi reinforced the government’s efforts to increase farmers’ income, lower cultivation costs, and create new revenue streams. He added that India's agricultural strength is central to the nation's economic resilience and food security.

This unfolding situation underscores the fragility of global trade diplomacy, especially when strategic interests, national security, and humanitarian concerns intersect. With the next round of Indo-US trade talks scheduled for August 25, the stage is set for intense negotiations—where India appears resolute in defending its agricultural red lines.