'Treat India-US trade talks as side show': Ex-NITI Aayog vice chairman urges New Delhi to diversify exports
He also said that New Delhi should focus on Europe, China, and the UK as alternative markets.
- Aug 19, 2025,
- Updated Aug 19, 2025 12:24 PM IST
Rajiv Kumar, former vice chairman of NITI Aayog and chairman of Pahle India Foundation, on Tuesday said that India should treat its trade talks with the US as a sideshow. Replying to a question on the India-US bilateral trade agreement talks, he said that India's main focus should be two-pronged: diversify its exports and develop its own potential.
"My take is let's see what happens and treat it as a side show, not the main show. The real question is how to enhance our export competitiveness, expand our markets, identify key export areas, and develop policies to foster their growth. This whole situation should be an opportunity to develop a proper export strategy, instead of depending so heavily on the US," Kumar said in an interview with The New Indian Express.
He also said that New Delhi should focus on Europe, China, and the UK as alternative markets. He said that India could compete in China because of huge volumes of agricultural products.
Kumar explained that there are huge opportunities for India in China as wages are rising due to the shift from labour-intensive manufacturing. He explained that the government must actively support private exporters to utilise the opportunities presented by China.
Furthermore, the former NITI Aayog vice chairman said that New Delhi does not have leverage to impose retaliatory tariffs on US goods and that negotiation is the only way to go. He added that US exports to India are only around 2 per cent of their total exports — around $30-40 billion.
"Instead, we need to negotiate. If the US is such an important market for us and we lack leverage, then we should consider compromises — whether in dairy, marine products, or agriculture. Look at areas where we can give a little, and then move forward. Retaliation is not an option for India."
Answering a question on whether India should continue to protect its agriculture and dairy sectors, Kumar said that we should be more nuanced while doing so. He also stated that India should not allow genetically modified organisms (GMOs) as there is no specific information on its health effects.
He added that India's riders on US' entry to its agriculture and dairy sectors have to be sector-specific. "For example, there’s no harm in importing maize to feed our cattle and poultry, and if it frees up land for other uses. The idea is to be granular, not general."
Rajiv Kumar, former vice chairman of NITI Aayog and chairman of Pahle India Foundation, on Tuesday said that India should treat its trade talks with the US as a sideshow. Replying to a question on the India-US bilateral trade agreement talks, he said that India's main focus should be two-pronged: diversify its exports and develop its own potential.
"My take is let's see what happens and treat it as a side show, not the main show. The real question is how to enhance our export competitiveness, expand our markets, identify key export areas, and develop policies to foster their growth. This whole situation should be an opportunity to develop a proper export strategy, instead of depending so heavily on the US," Kumar said in an interview with The New Indian Express.
He also said that New Delhi should focus on Europe, China, and the UK as alternative markets. He said that India could compete in China because of huge volumes of agricultural products.
Kumar explained that there are huge opportunities for India in China as wages are rising due to the shift from labour-intensive manufacturing. He explained that the government must actively support private exporters to utilise the opportunities presented by China.
Furthermore, the former NITI Aayog vice chairman said that New Delhi does not have leverage to impose retaliatory tariffs on US goods and that negotiation is the only way to go. He added that US exports to India are only around 2 per cent of their total exports — around $30-40 billion.
"Instead, we need to negotiate. If the US is such an important market for us and we lack leverage, then we should consider compromises — whether in dairy, marine products, or agriculture. Look at areas where we can give a little, and then move forward. Retaliation is not an option for India."
Answering a question on whether India should continue to protect its agriculture and dairy sectors, Kumar said that we should be more nuanced while doing so. He also stated that India should not allow genetically modified organisms (GMOs) as there is no specific information on its health effects.
He added that India's riders on US' entry to its agriculture and dairy sectors have to be sector-specific. "For example, there’s no harm in importing maize to feed our cattle and poultry, and if it frees up land for other uses. The idea is to be granular, not general."