Finance Minister Nirmala Sitharaman on Thursday chaired an inter-ministerial meeting to explore support measures for exporters impacted by the 50% US tariffs on Indian goods, PTI reported citing sources.
Senior officials from the ministries of finance, commerce, textiles, MSMEs, chemicals, and fisheries participated in the discussions. The meeting comes after the Trump administration’s tariff hike, effective August 27, which exempts only a few products.
Exporters warned that labour-intensive sectors, including shrimp, chemicals, textiles, leather and footwear, and gems and jewellery, could face major losses as their products become more expensive in the US market, potentially losing competitiveness to Bangladesh, Vietnam, and Thailand.
The finance minister reviewed possible support measures and sought feedback from officials on how the government could shield exporters during this period. Earlier, the Federation of Indian Export Organisations (FIEO) stated that FM Sitharaman assured them of the government’s commitment to addressing exporters’ concerns.
“The finance minister reassured the delegation that the government stands firmly behind Indian exporters in this hour and will explore every possible avenue to safeguard their interests,” FIEO said.
India’s exports to the US rose 21.64% to $33.53 billion in the first four months of this fiscal year, with nearly half of these shipments exempt from the 50% tariffs. The US accounted for about 20% of India’s $437.42 billion goods exports in 2024-25 and remains India’s largest trading partner, with bilateral trade reaching $131.8 billion.