In a move aimed at easing domestic inflation, the United States has exempted a broad range of agricultural and processed-food items from reciprocal tariffs—bringing relief to Indian exporters hit hard by President Donald Trump’s April tariff announcement.
The revised exemption list, issued as Annexure II by the White House, includes 254 products, of which 229 are agricultural items. These account for nearly $1 billion of India’s exports to the US, covering key commodities such as coffee, tea, tropical fruits, nuts, and spices. The executive order, effective from November 13, reflects mounting pressure on the Trump administration to curb rising consumer prices.
The decision comes after the US imposed steep tariffs earlier this year—50% on Indian goods, the highest for any US trading partner, compared to under 20% for the European Union and Vietnam. These duties severely impacted Indian exports, with overall shipments to the US falling nearly 12% in September to $5.43 billion. Sectors most affected included tea, coffee, spices, and cashew nuts.
Industry observers view the tariff rollback as a strong positive signal for Indian agri exporters. After months of subdued demand, the move is expected to revive shipments of several food products, including spices valued at $358 million and tea and coffee worth over $82 million annually.
With tariffs removed on over 200 food items, Indian exporters are preparing for renewed traction in the US market following prolonged uncertainty.