Trade deal with India 90% ready, will take ties to another level: US official

The proposed US-India trade deal is "90-per cent-plus" complete and could be finalised soon, a senior US State Department official said, signalling a potential breakthrough in an area that has long been a major sticking point in bilateral ties.

The official told PTI that Washington and New Delhi were "very close" to completing the agreement, with only a few final issues left to be worked out. The official said the deal could take US-India relations to "another level" and described the progress as particularly significant because the two countries had not been able to reach this stage on trade in decades.

Asked when the agreement could be signed, the official said, "I would say stay tuned, which we keep saying, but we are - we are very close - it's like a 90-per cent-plus there and just those final things being worked out, so I hope you're going to see something very soon on that."

The official said the deal would "really just unleash another level of US-India relations", adding that trade had historically been the biggest sticking point between the two countries.

"This has always been the most sticking point in the relationship. And so I think we're very close and it's going to be, I think, very, very exciting when we get there," the official said.

RUBIO, PM MODI VISITS TO ADD MOMENTUM

The official said momentum in the broader relationship was also visible through several other developments, including US Secretary of State Marco Rubio's expected visit to India in October and Prime Minister Narendra Modi's expected visit to the US for the G20 Summit in Florida in December.

Referring to Rubio's upcoming visit, the official said it was part of the "continuous growth and attention to the US-India partnership".

"This is all part of the continuous growth and attention to the US-India partnership. There's a lot happening," the official said.

On PM Modi's expected US visit in December, the official said there could be some big announcements, adding, "There's just a lot happening in the relationship."

QUAD ENGAGEMENT DEEPENS

The official also highlighted growing engagement through the Quad, saying the foreign ministers of the four countries would meet for the third time this year.

"This is unprecedented. They've never met this many times, and I think that just tells you the attention that we're giving, the importance of this diplomatic grouping, the importance that India also places on it, as well as Japan and Australia. And stay tuned as well," the official said.

The person said the Quad foreign ministers' meeting would be hosted in New Delhi in May and indicated that other developments could emerge from it later next month.

The official also pointed to the wider importance that the United States, India, Japan and Australia place on the Quad, describing the frequency of the meetings as a sign of the attention being given to the grouping.

IMEC REMAINS A MAJOR PRIORITY

The official said the India-Middle East-Europe Economic Corridor, or IMEC, was "absolutely a huge priority" for both the United States and India.

However, the project has faced roadblocks because of developments in the Middle East. The official said the corridor could move ahead once the region stabilises.

"I think on the India side and on the US side, we're ready to go. But because of some of the challenges we've had over the years, starting from the beginning of the administration, the president came in and we were still dealing with Israel/Gaza. That certainly paused things. And then obviously Iran and Operation Midnight Hammer, that paused things. And so every - it's really being held in the Middle East. So I think when things can stabilise, you're really going to see IMEC take off," the official said.

The official said the US was excited about IMEC and that work was already under way to map some of its routes, particularly shipping and trucking links.

The official added that countries in the region, including Saudi Arabia, Jordan, the UAE and Israel, would still need to work out their respective parts of the project.