Piyush Goyal likely to meet exporters on April 9 when reciprocal tariffs take effect

Commerce and Industry Minister Piyush Goyal is expected to meet exporters on April 9 as the reciprocal tariffs by the US come into effect.
 
According to sources close to the development, the Commerce ministry has called a meeting with exporters on Wednesday to discuss the impact of the reciprocal tariffs on exports and possible strategies to overcome it.

For now, exporters have been working to fast-track shipments in the pipeline and ensure that they are sent by April 9 in order to escape the reciprocal tariffs of the US. However, exporters say that there is a fair bit of uncertainty at present as there are no new orders and everyone is on wait and watch mode.
 
“In most cases, further orders are on hold. It is to be seen whether the increased tariff can be passed on to the consumers. Working capital is also becoming an issue as exporters will have to pay the higher tariff,” said a sectoral expert, adding that it will take about a month’s time to fully assess the situation.
 
The US has imposed a 26% reciprocal tariff on India with effect from April 9. At present, pharma remains exempt but the US has indicated that it may review this exemption later as well.
 
Currently, the Commerce ministry is also assessing the impact of the tariffs and to understand the way forward. According to sources, the government remains hopeful of a successful negotiation of the bilateral trade agreement with the US that could bring some reprieve on tariffs and is also looking at fast tracking trade deals with several countries including the European Union.
 
Exporters, meanwhile, are also hoping for fresh support from the government and a revival of several export incentive schemes such as the interest equalisation scheme that lapsed on December 31 last year as well as the extension of the RoDTep (Remission of Duties and Taxes on Exported Products) scheme.
 
Goyal had previously met export promotion councils on March 13. While the meeting was a part of his regular interactions, issues around US trade and tariff announcements were also taken up for discussion.