India Delays Retaliatory Tariffs on U.S. Pulses

India Delays Retaliatory Tariffs on U.S. Pulses

Russell Nemetz
Russell Nemetz
Shakun Dalal, the U.S. pulse industry's marketing representative to India forwarded some good news to the USADPLC office that offered, if not relief from retaliatory tariffs, perhaps some hope that India may be softening its stance on instituting a specific tariff against U.S. pulses.

India has announced it will delay the implementation of retaliatory tariffs of approximately $241 million against 29 products from the U.S. by another month-and-ahalf, including an increase in tariffs on lentils and chickpeas. Keep in mind, India had already placed its maximum tariff of 50% on dry peas, but there are no such limits for lentils and chickpeas.

"The Department of Commerce has suggested to the Department of Revenue that the notification on retaliatory duties against the US be amended to extend the date of implementation by 45 days, beyond August 4," said the Commerce Ministry in a press release. The additional tariff of 10% on lentils and chickpeas was initially announced on June 20th.

"While the office of the US Trade Representative (USTR) had two rounds of dialogue with Indian officials, a compromise could not be reached. The government is now hoping that the issue can be resolved in the next 45 days," the official added.

India and the US are also scheduled to hold a strategic trade dialogue next month, and the Ministry of External Affairs is keen that ties between the two nations not be soured prior to that.

India will host Secretary of State Michael Pompeo and Secretary of Defense James Mattis in New Delhi on September 6.

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