Amul MD: India-US Trade Pact Safeguards Farmers, Opens Valuable US Market Access

Amid growing concern among farmer groups over the proposed India–US trade agreement, Amul Managing Director Jayan Mehta has sought to reassure stakeholders that the deal safeguards farmers’ interests and offers new growth opportunities for India’s agriculture and dairy sectors. Speaking in an exclusive interview with NDTV, Mehta said trade negotiations are inherently reciprocal and should be viewed in that broader context.

Farmers’ organisations have expressed apprehension that lower tariffs could allow cheaper American agricultural products to flood Indian markets, worsening existing challenges. However, Mehta countered this narrative, arguing that the agreement prioritises market access for Indian products while maintaining protections for domestic producers. He emphasised that expanded access to the US market could significantly benefit Indian agriculture in the long term.

Highlighting tariff reductions under the agreement, Mehta noted that duties are expected to fall from around 50 per cent to 18 per cent, a move he said would make Indian products more competitive abroad. According to him, this shift could pave the way for a more sustainable and prosperous future for those connected to the dairy and farm sectors, rather than undermining them.

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Mehta also addressed specific concerns related to the dairy industry, particularly cattle feed. He explained that Amul works with nearly 36 lakh farmers across 18,600 villages in Gujarat and handles about 350 lakh litres of milk daily, making feed quality a critical issue. The cooperative operates eight cattle-feed plants producing roughly 12,000 tonnes a day using a mix of agricultural by-products.

Addressing fears of excessive imports, Mehta cited Distillers Dried Grains with Solubles (DDGS) as an example, noting that its use in cattle feed is limited to about 3–4 per cent. He added that India already has sufficient domestic availability of DDGS due to ethanol production from maize, leaving little practical incentive for large-scale imports under the agreement.

Despite these assurances, farmer bodies led by the Samyukt Kisan Morcha and the All India Kisan Sabha have announced a nationwide one-day strike on February 12. In a statement, they described the deal as a “total surrender” of Indian agriculture to US multinational corporations, rejecting government claims that key farm and dairy interests remain protected.

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