As India discusses a Bilateral Trade Agreement with the U.S. amid tariff policy changes by the American administration, apple growers in Himachal Pradesh express concern about the possible reduction in import duties on apples that could affect their economic stability.
Kuldeep Singh Rathore, the Congress MLA from Theog and AICC spokesperson, has called on political entities to oppose foreign influences to defend the interests of local apple farmers. He asserts that all seven Himachal Pradesh Members of Parliament should advocate these issues to Prime Minister Narendra Modi and Union Commerce Minister Piyush Goyal.
In correspondence with Mr. Goyal, Rathore emphasized the need to shield small and marginal apple growers, expressing concern over ongoing trade discussions signaling U.S. efforts to lower tariffs on American apples, including the Red Delicious variety, which competes with local production. He noted, "Recent signals from the ongoing India-U.S. trade talks indicate that the U.S. negotiation team is aggressively pushing for tariff reductions on American apples, particularly the Red Delicious variety, which directly competes with Himachal's primary apple crop."
Rathore highlighted, "The U.S. has already secured significant tariff reductions on other agricultural products. For instance, import duties on almonds, pistachios, and walnuts were slashed from 100% to approximately 30% in recent bilateral agreements, boosting U.S. exports while adversely impacting Indian farmers. In 2023, U.S. walnut exports to India alone increased by 25% following these concessions, according to USDA (United States Department of Agriculture) trade data. A similar reduction in apple duties would devastate Himachal's apple industry, which lacks the scale and subsidies of the U.S."
Himachal Pradesh's economy relies heavily on apple farming, benefiting over 1.5 lakh families, predominantly small and marginal farmers, generating an annual revenue of about ₹5,000 crore (US$600 million). The State's Department of Horticulture notes annual production at around 6.5 lakh metric tonnes, representing around 25% of India's apple output. Farmers have limited diversifying opportunities due to the terrain.
The Apple Growers Association of India president, Ravinder Chauhan, shared concerns: "As of now, the import duty on apples is at 50%, which in fact should be increased to 100%. If import duty is reduced, it will result in the flooding of the market with cheaper U.S. apples, which would badly hit the local growers and their livelihoods.
Source: The Hindu
