**India Seeks US Tariff Relief, Offers Corn and Energy Imports**
*By Akash Pandey | Sep 27, 2025, 05:21 PM*
India and the United States are currently engaged in negotiations for a bilateral trade deal. As part of these discussions, India has proposed increasing its imports of corn from the US for ethanol production, along with expanding energy purchases. This proposal arrives amid India’s request for the removal of the 25% penal tariffs imposed by Washington on its Russian oil imports.
These tariffs were introduced by the US in response to India’s purchases of Russian oil, which Washington alleges have indirectly funded Russia’s war against Ukraine.
**Exploring Corn Imports for Ethanol Production**
The US has been encouraging India to boost its purchases of American soybeans and corn. However, India has shown hesitation due to concerns surrounding genetically modified (GM) crop varieties. Despite these challenges, officials confirmed that “fresh offers have been made” and discussions are underway to buy corn specifically for ethanol production.
This development indicates India’s willingness to explore new avenues within the ongoing trade negotiations.
**Negotiation Strategy and Agricultural Market Access**
While talks continue, India remains firm on protecting its agricultural sector. The country has set clear red lines regarding market access, aiming to safeguard its farmers and prevent the entry of GM products into its food supply.
An official involved in the talks stated, “The talks are on track, and we are trying to meet the fall deadline, but the date and venue of the next round of negotiations is yet to be finalized.”
**Diplomatic Discussions: First In-Person Meeting Since Tariffs Announcement**
The Indian delegation, led by Commerce and Industry Minister Piyush Goyal, recently met with US Trade Representative Jamieson Greer and US Ambassador-Designate to India, Sergio Gor. This marked the first face-to-face meeting since the August 27 announcement of the 25% penal tariffs.
The two sides are working toward concluding a Bilateral Trade Agreement (BTA), originally targeted for completion by this fall. To date, five rounds of negotiations have taken place.
**Engaging US Businesses and Investors**
In addition to government-level talks, the Indian delegation engaged with key US-based businesses and investors to promote trade and investment ties between the two countries.
According to the Indian Ministry of Commerce, these meetings received a positive response. Business leaders expressed confidence in India’s growth story and showed strong interest in expanding their activities within the Indian market.
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The ongoing negotiations reflect a complex but promising phase in India-US trade relations, as both nations seek mutually beneficial solutions amid geopolitical challenges and market sensitivities.
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