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Effects of tariff and non‐tariff barriers on India‐US agricultural trade

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  • Yejun Choi
  • Ram N. Acharya
  • Stephen Devadoss
  • Madhav Regmi

Abstract

India has a growing demand for high‐value agricultural products due to rising incomes, urbanization, and consumer preferences. The United States is currently India's fifth‐largest supplier of agricultural products. However, trade barriers restrict bilateral trade between these two nations, and both countries are evaluating the prospects for lowering trade restrictions and enhancing bilateral trade. We employ a gravity model to analyze the effects of trade policies on India‐US bilateral trade and the potential implications for global agricultural trade. The results indicate that elimination of tariffs significantly boosts US exports to India and lowers Indian domestic prices, particularly for tree nuts, fresh fruit, and distilled spirits.

Suggested Citation

  • Yejun Choi & Ram N. Acharya & Stephen Devadoss & Madhav Regmi, 2025. "Effects of tariff and non‐tariff barriers on India‐US agricultural trade," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 47(1), pages 256-274, March.
    • Handle: RePEc:wly:apecpp:v:47:y:2025:i:1:p:256-274
    DOI: 10.1002/aepp.13463
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