Economy
Amul MD to Farmers: Trade Deals Go Both Ways in India-US Pact

In a timely bid to soothe mounting anxieties among India's farming community, Amul Managing Director Jayen Mehta has emphasized that international trade negotiations are inherently reciprocal, ensuring protections for local producers while opening new opportunities abroad. Speaking to NDTV, Mehta addressed fears over the recently inked India-US trade agreement, which has sparked protests from farmer unions worried about cheap American imports flooding dairy and agriculture markets.
Mehta highlighted the deal's mutual gains, noting that US tariffs on Indian dairy products could drop from 50% to as low as 18%, giving cooperatives like Amul a stronger foothold in global markets. "This is a two-way street," he said, underscoring Amul's robust supply chain that supports 3.6 million farmers across Gujarat by processing 35 million liters of milk daily without heavy import dependence.
Drawing on Amul's operations, Mehta explained how the company produces 12,000 tonnes of cattle feed daily using domestic ingredients like rice bran, maize, and rapeseed meal. Even for additives like DDGS, usage is capped at 3-4%, with ample local supply mitigating risks from US imports. This self-reliance, he argued, positions Indian dairy to thrive rather than suffer.
Government sources echo this, affirming that sensitive sectors like agriculture and dairy were explicitly safeguarded in the talks, countering opposition claims of undue concessions. Yet, tensions persist, with groups like Samyukt Kisan Morcha planning a February 12 strike, labeling the pact a potential blow to smallholders.
Optimism centers on export potential: easier access to the US could raise farm incomes by 10-15% in dairy-heavy states, mirroring successes in prior pacts with Australia and the UK. As President Trump's administration ramps up trade pushes post-reelection, Amul's model—linking villages to value-added exports like ghee and cheese—offers a blueprint for rural growth without compromising food security. Mehta's message is clear: fair trade can empower farmers, provided it prioritizes their long-term prosperity.



