India may not concede to U.S. demands to allow genetically modified (GM) agricultural imports of corn and soybeans during the ongoing trade negotiations, according to a report by the Indian Express, citing a source aware of the matter.
“Some things are matters of principle. We can’t import GM,” the source said.
Market access for agricultural goods has remained a central demand from the United States in the ongoing trade negotiations. The issue has consistently been one of the most contentious points between the two nations. Previously, the U.S. Trade Representative (USTR) criticized the regulations on genetically modified (GM) products in several countries, including India, labeling them as non-tariff barriers.
India is pressing for expanded market access for its textiles, leather, and footwear sectors, while Washington is demanding entry into India’s agricultural and dairy markets. At the same time, the U.S. has urged India to relax its strict regulations on genetically modified (GM) crops to allow imports of GM corn and soybeans. However, India has consistently resisted the demand, citing concerns over food safety, environmental risks, and the need to safeguard its farming communities.
India continues to resist the adoption of genetically modified (GM) crops. Currently, Bt cotton is the only GM crop approved for cultivation. However, India permits the import of GM products such as soybean oil and canola oil.
According to the India-based Global Trade Research Initiative (GTRI), importing genetically modified (GM) products, particularly animal feed, could undermine India’s agricultural exports to the European Union.
The EU enforces stringent GM labeling regulations and faces strong consumer opposition to GM-associated goods, making such imports a potential risk to India’s trade competitiveness.
Indian government officials previously indicated that the sixth round of trade talks with the United States is scheduled for the latter half of August, which significantly reduces the chances of finalizing an interim trade deal before August 1. Meanwhile, U.S. President Donald Trump has set August 1 as the deadline for imposing double-digit reciprocal tariffs, and India could be hit with tariffs as high as 26% if no interim deal is reached by then.
TRADE WORLD | South Africa Confirms Precedent Agreement with the U.S.
