New Delhi, Nov 17, 2025
India’s agricultural exports to the US, valued at around $1 billion, will be exempt from the tariff hikes after President Donald Trump announced a tariff cut on nearly 200 food products to make them more affordable for US consumers, following a political backlash over rising prices.
The food products that stand to gain in the US include coffee, tea, tropical fruits, fruit juices, cocoa, spices and bananas.
“India’s agricultural exports to the US stood at $2.5 billion in FY25, of which around $1bn is exempted now,” Director General, Directorate General of Foreign Trade (DGFT) Ajay Bhadoo said on Monday.
The Commerce Ministry said that spices worth $358.66 million, 50 processed food items valued at $491.31 million, and tea and coffee to the tune of $82.54 million will be exempt from the 50 per cent tariffs levied on Indian goods by the United States.
Other goods set to benefit include 48 products under the fruits and nuts category worth $54.58 million, certain essential oils, 26 items under the vegetables and edible roots category, as well as some beef and bovine products.
“While this applies to all trading partners, it creates a level playing field for Indian exporters,” the commerce ministry said.
Indian officials said nearly 50 processed food categories, with export values estimated at $491 million last year, stand to gain the most. This includes coffee and tea extracts, cocoa-based items, fruit juices, pulp products, mango preparations and vegetable waxes.
Spices, valued at $359 million, are expected to be the next major beneficiary. Another 48 types of fruits and nuts, among them coconuts, guavas, mangoes, cashew nuts, bananas, areca nuts and pineapples, will also see an advantage, though these accounted for only about $55 million in exports.
Collectively, the revised list touches nearly one-fifth of India’s $5.7 billion agricultural shipments.
US President Donald Trump has signed an executive order allowing a range of food products as his administration faces mounting pressure over rising prices. While Trump previously downplayed concerns about the cost of living, he has been forced to act on the issue after his Republican Party was defeated in elections last week in the states of Virginia and New Jersey.
The Trump administration said these products cannot be produced in sufficient quantities domestically. The tariff exemptions for food products take effect retroactively at midnight on Thursday, 13 November, the White House said.(Agency)
FOLLOW NOW
