A 50% tariff imposed by the USA on Indian products is expected to affect the export of agricultural and processed food products from Maharashtra. Exporters said it will influence shipments to some extent in the short term, though they are hopeful the USA will negotiate with India to reduce the tariff.
According to data from the Agricultural and Processed Food Products Export Development Authority (APEDA), Maharashtra exported 161,000 tons of agricultural and processed food products worth Rs3,684 crore (US$442 million) to the USA in the 2024-25 financial year.
This included betel nuts, and malt at Rs745 crore (US$89 million), processed vegetables at Rs494 crore (US$59 million), cereal preparations at Rs311 crore (US$37 million), processed fruits, juices and nuts at Rs174 crore (US$21 million), fresh mangoes at Rs64 crore (US$7.7 million), fresh grapes at Rs6.3 crore (US$760,000), and fresh pomegranates at Rs24 crore (US$2.9 million). In 2023-24, exports stood at 134,000 tons worth Rs2,445 crore (US$294 million).
During the first quarter of 2025-26 (April-June), Maharashtra exported 42,077 tons of agricultural and processed food products worth Rs 1,113 crore (US$134 million) to the USA. In the same period of 2024-25, the figure was 70,616 tons worth Rs1,451 crore (US$174 million).
According to Vikas Singh, vice-president of the Horticultural Produce Exporters' Association (HPEA), higher tariffs will have short-term effects. "These products are mainly consumed by Indian professionals and NRIs in the USA, as they require the taste of Indian foods. The retail prices of these products will increase in the USA, but the consumers there may continue to buy them due to their habit of the taste of Indian foods. Moreover, the tariff by the USA on Indian products may also lead to a rise in inflation there. Hence, we are hopeful that the USA will negotiate with India and reduce the tariff," Singh said.
Source: Times of India