Latest news with #RameshChand
Time of India
2 days ago
- Business
- Time of India
India should adopt a dual-track approach to protect its agri exports to US: NITI Aayog working paper
India should adopt a dual approach and offer tariff concessions on certain agricultural commodities to the US while also undertaking medium-term structural reforms to improve the global competitiveness of its farm sector amid 'reciprocal tariff' to keep a favorable environment for exports to the US, a NITI Aayog working paper said. Written by NITI Aayog senior advisor Raka Saxena and member Ramesh Chand, the paper on ' Promoting India-US Agricultural Trade Under the New US Trade Regime', suggests India should consider selectively reducing high tariffs on non-sensitive imports like US apples in the short-term. 'India should negotiate non-tariff safeguards on vulnerable segments such as poultry and can also strategically offer concessions where domestic supply gaps exist, such as in edible oils and nuts,' it said. Talking about the medium-term structural reforms that India should undertake to improve the global competitiveness of its farm sector, the paper said India should bridge the productivity gap by embracing appropriate technologies, market reforms, private sector participation, improvement in logistics and development of competitive value chains. India's exports to the US include traditional items such as frozen shrimp, basmati rice, spices along with processed cereals, and other value-added products while its imports from the US remain concentrated in high-value commodities such as almonds, pistachios, and walnuts. According to the paper, the ongoing negotiations between the two countries for a bilateral trade accord seem to be the best option for resetting the long term trade relationship. 'Given that the US is India's largest trading partner and a key destination for Indian agri-exports, India must prepare a strategic response that protects domestic producers and promote overall domestic interests without escalating trade conflicts,' it argued. The report outlines seven strategic interventions that could help in maintaining India-US agricultural trade relations. This includes building structural competitiveness, strategic import substitution in case of edible oil and corn, protection of sensitive sectors like poultry and dairy through non-tariff measures, marketing reforms and export facilitation, tariff adjustments on US apples, almonds and pistachios and seeking reciprocal market access for high-performing exports through duty waivers. Besides, it has proposed setting up of an Agri Trade Intelligence Cell to systematically monitor global supply situation, global trade trends, import surges, and price volatility.
Mint
3 days ago
- Business
- Mint
Pragmatic tariff adjustments with US can secure India's farm exports: NITI paper
New Delhi: India should grant more market access to American products that do not hurt Indian farmers—including apples, almonds and pistachios—for a mutually beneficial bilateral trading arrangement, according to a working paper by NITI Aayog. In turn, India could benefit from greater long-term market access for its shrimp, fish, rice, tea, coffee and rubber, the paper said as the two countries tried to wrap up a bilateral trade agreement. The paper supports a 'give and take' approach that will allow the US to lower its trade deficit with India, while also helping India to secure its farm exports. The paper, co-authored by member Ramesh Chand and senior advisor Raka Saxena, also suggests that India introduce market reforms in the farm sector and work with states in order to improve competitiveness of India's agriculture exports. Also read: Wheat procurement hits 29.7 million tonnes in 2025–26, highest in four years amid bumper crop 'India must pursue a pragmatic mix of tariff adjustments, strategic import liberalization and long-term competitiveness to safeguard its farm sector while preserving strong trade ties with the United States. With calibrated give-and-take, India can prevent large-scale disruption, avoid trade conflict and emerge as a more competitive and resilient agri-export economy," said the latest working paper from the federal policy think tank. It clarifies that authors' views are personal. India can consider lower tariffs on agricultural commodities where either domestic production is small or import does not compete with domestic production because of different quality grades and seasons, the report said, citing examples of US apples which sell at a premium price in India and products like almonds and pistachios, the demand for which is met through imports. Apples from the US now attract 50% import duty in India, while pistachios and walnuts attract 30%, the paper pointed out. The authors explained that India, which accounts for over 40% of US imports of frozen shrimp and prawn, its largest source of import, now faces a 26% tariff under the now-suspended reciprocal tariff plan, compared with the earlier zero-duty regime, potentially weakening India's price advantage if the tariffs are not averted. India is currently in trade talks with the US to avoid the tariffs announced on 2 April and suspended for three months to facilitate talks. Also read: India sets record grain production target of 354.64mt for 2025-26 Ecuador, with a lower share and lower unit value for the commodity per tonne, faces only a 10% tariff under the reciprocal tariffs, positioning it to gain from the shifting trade dynamics with the US, the report pointed out. 'As a leading supplier with over 40% market share, India stands to lose price competitiveness, especially against countries like Ecuador and Argentina, which now face only a 10% tariff. This shift could lead to reduced demand for Indian shrimp in the US unless exporters absorb part of the cost or reposition toward value-added or certified sustainable products," the report pointed out. Indonesia and Vietnam, however, stand to take a heavier hit from the reciprocal tariffs on shrimp at 32% and 46% respectively. The pause on reciprocal tariffs announced by the US has created a level playing field for now, but exporters are hoping for a permanent solution. 'We are confident that the negotiations between India and US for concluding a trade agreement would yield fruit quickly and allow import of shrimp into the US without any tariff barriers," said K.N. Raghavan, secretary general of the Seafood Exporters Association of India. Export of processed and value-added seafood has immense potential, Raghavan said, adding that more focus on this area with support from government will lead to higher exports. "We are confident that with support from government and related agencies, we will be able to double the present export turnover of $7-8 billion a year within the next five years," added Raghavan. The report said rice is the second-most important commodity exported by India to the US, commanding 27% share in its rice imports after Thailand, which controls more than half of all US import of rice. India exported rice worth $ 409 million to the US in 2024. India, now faces the threat of a 26% reciprocal tariff on rice, which would be an increase from the otherwise 0.6% tariff. This poses a moderate yet strategic challenge. India still retains a tariff advantage over Thailand, which faces a higher 36% rate. 'There is ample of scope as well as opportunity for semi-milled rice and basmati rice exports from India to US, if the trade deal is done keeping the interest of Indian farmers," said Satish Goel, president, All India Rice Exporters of India. Also read: India to revamp rice cultivation technique to save water, cut methane emissions Like exports, the composition of India's agricultural imports from the US has also undergone considerable changes during the last two decades. Edible fruits and nuts have emerged as a dominant item of agricultural imports followed by cotton and beverages and spirits. These three categories constitute 75% of total agricultural imports from US into India, the report said. By turning current challenges into reform opportunities, India can position itself as a global food power in the coming decades, the report said.
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Business Standard
6 days ago
- Business
- Business Standard
NITI Aayog's Chand outlines 5 priority areas to lower carbon footprint
To reduce agriculture's carbon footprint, NITI Aayog member and eminent economist Ramesh Chand has outlined five priority areas for policymakers. These include correcting distortions in input and output pricing in crops such as paddy, promoting crop cultivation in agro-climatically suitable regions, enhancing the efficiency of inputs like fertilisers, increasing crop yields, and mainstreaming sustainable agricultural practices. Addressing a session on 'Innovating for Climate Resilient Agriculture' at the ongoing CII Annual Business Summit, Chand said that despite substantial research on the adverse impact of climate change on agriculture, there has so far been no major impact of bad weather on crop yields. 'This is because, till now, science, technology, and research and development have managed to shield agriculture from the adverse impacts of climate change,' Chand said. Highlighting the role of science, Chand noted that while wheat yields were expected to fall by 4 per cent over 30 years due to climate change, new varieties led to a 20 per cent increase in yields—meaning the actual gain was around 14 per cent on the ground. 'But as we go ahead, there will come a tipping point when science won't be able to withstand the impact of climate change on agriculture, and the tolerance level will fade,' he warned. On policy reforms, Chand said that market-distorting price instruments—such as bonuses on paddy over the minimum support price (MSP)—encourage growers to opt for crops that are environmentally damaging, rather than those that are climate-friendly. Similarly, inputs such as free power contribute to increased emissions from paddy fields. Chand stressed that improving input efficiency—such as applying the right amount of nitrogen to soil—would go a long way in reducing greenhouse gas (GHG) emissions from agriculture. He pointed out that agriculture is perhaps the only sector that is both a significant emitter of GHGs and a major victim of climate change.
Mint
6 days ago
- Business
- Mint
India farm yields resilient to climate change thanks to science: Ramesh Chand
Use of science and technology has so far helped avert a decline in agricultural crop yields in India despite a rise in temperature and the effects of climate change, Ramesh Chand, member, Niti Aayog, said on Thursday. "Despite an increase in temperature, so far you would not see the decline in yield of any of the crops in India, despite reports that increase in temperature will affect productivity," said Chand at the CII Annual Business Summit 2025. Despite climate change, and an increase in temperature, crop yield is increasing. "That is because [of] science and technology, research and development. So far, the technology is able to counter the adverse effects of climate change," he added. In India, 30-40% of the total carbon emissions is contributed by agriculture, and climate change also affects the farm productivity. The second specificity is that emissions from agriculture are invisible, which is not the case in most other sectors. He illustrated his point with an example of wheat yields. If climate change was projected to cause a 4% fall in yield over the next 30 years, scientific advancements intervened. New varieties were developed, resulting in an actual yield increase of 20%. Therefore, despite the climate change impact, the net increase in yield was 14%. He, however, emphasised that just because yield is not getting impacted doesn't mean that climate change is not happening. But so far, science and technology, research and development, and irrigation facilities and many other initiatives have been helpful in countering the effects of climate change. "But as we go out, a stage will come, which is called tipping point, beyond that you cannot do anything using science. Then you have no option left, which is needed to be kept in mind," Chand stressed. Underlining the critical role of policy in enabling innovation-led, climate-resilient growth, he outlined five priority areas for policy action. First, correcting distortions in input and output pricing. For example, giving bonus on a particular crop enhances production of that crop at the expense of others. Second, to cut the emissions, he suggested promoting crop cultivation in agro-climatically suitable regions. Third, he stressed on enhancing the efficiency of inputs like fertilizers which should be used judiciously. Fourth, he stressed on increasing crop yields and lastly, mainstreaming sustainable agricultural practices to reduce the sector's carbon footprint. As part of the Confederation of Indian Industry's (CII) Annual Business Summit 2025, a special plenary session on "Innovating for Climate Resilient Agriculture" was held, where Chand was addressing the audience. The session brought together experts from policy, industry, and research to deliberate on cutting-edge innovations and sustainable practices for climate-resilient agriculture. Discussions centered on empowering farmers, enhancing productivity, and ensuring environmental stewardship, with a focus on integrating smart technologies, sustainable models, and inclusive strategies.
News18
6 days ago
- Business
- News18
Policy has critical role in climate-resilient growth, says NITI member
Last Updated: New Delhi, May 29 (PTI) Niti Aayog member Ramesh Chand on Thursday underlined the critical role of policy in enabling innovation-led climate-resilient growth. Addressing an event organised by industry body CII, he outlined five priority areas for policy action. The priority areas for policy action include–correcting distortions in input and output pricing,promoting crop cultivation in agro-climatically suitable regions,enhancing input-use efficiency, increasing crop yields, and mainstreaming sustainable agricultural practices to reduce the sector's carbon footprint. Also, speaking at the event, India's G20 Sherpa Amitabh Kant said India will not transform on government policy alone. 'The baton must be taken over by private enterprise," Kant added. He said the government has created the platforms—PLI, DPI, Startup India, focus on infrastructure, digital infrastructure & a regime of low Corporate tax. Industry must now run with cutting -edge innovation, R&D and with bold investments, global ambition, and a commitment to transforming India into a USD 30 + trillion economy,Kant added. According to Kant, this decade must be the moment when India's businesses built a new India – for the world. PTI BKS MR
