Calls for Parliamentary Debate, State Consultations; Announces Nationwide Protest on July 9

THE NEWS DOSE DESK
New Delhi/Chandigarh|June 26, UPDATED:7.04PM
The Samyukt Kisan Morcha (SKM) has strongly urged Prime Minister Narendra Modi to refrain from signing any bilateral or multilateral trade agreements that could adversely affect India’s agriculture, industry, and broader national interests. The farmers’ coalition demanded that any proposed trade deal be first tabled in Parliament and discussed with State Governments, as well as representatives of farmers and workers. These sectors fall under the State List in India’s Constitution.
This appeal comes amid heightened concerns over the impending imposition of reciprocal tariffs by the United States, scheduled to take effect on July 9, 2025, under directives from former US President Donald Trump. Simultaneously, the ongoing negotiations over the India-UK Free Trade Agreement and a bilateral pact with the United States have come under fire for their lack of transparency and consultation.
“These secretive trade negotiations could prove catastrophic for millions of Indians who depend on agriculture, dairying, fishing, and horticulture for their livelihoods,” the SKM said in a statement. “Even MSMEs—from generic drug manufacturers to auto part producers—stand to suffer under these lopsided deals.”
India Accused of Capitulating to US Pressure
The SKM criticised India’s approach to US demands, especially when compared with countries like China, Canada, and Mexico, which stood firm against Trump-era tariff threats. Notably, Canada and Mexico—despite sending over 70% of their exports to the US—refused to yield, while India, with only 18% export exposure, is being accused of “surrendering” to American pressure.
Quoting Trump’s statement in Doha that India has offered a trade deal with “basically zero tariffs” on a wide range of American goods, the SKM alleged that Prime Minister Modi appears to have already agreed to lower both tariff and non-tariff barriers for US imports significantly.
Lessons from Past FTAs Ignored
The Morcha highlighted the devastating consequences of earlier FTAs with Sri Lanka and ASEAN, which led to the dumping of cheap agricultural commodities such as tea, coffee, pepper, and rubber in southern states like Kerala, Karnataka, and Tamil Nadu, resulting in massive income losses for farmers.
“Instead of evaluating the damage caused by existing trade agreements, the BJP-led Union Government is rushing headlong into new ones, disregarding both farmer interests and federal principles,” the SKM alleged.
Dairy, Maize, Horticulture Under Threat
Particularly alarming to farmers are the implications of the proposed US-India trade deal on the dairy sector. If tariffs and import restrictions are lifted, US dairy exports are expected to surge, severely impacting local producers. Similarly, there is pressure to lift bans on genetically modified maize and allow ethanol imports, which could result in an estimated windfall of $300 million for U.S. exporters.
Soya bean, almond, pistachio, walnut, apple, and other key horticulture crops are also on the negotiation table. Since 2001, apple imports into India have skyrocketed from 0.2 lakh metric tonnes to 6 lakh metric tonnes—now constituting 22.5% of domestic production. This surge is endangering the livelihoods of over 8 lakh apple-farming households in Jammu & Kashmir, Himachal Pradesh, and Uttarakhand.
Cotton Farmers in Crisis
The SKM expressed alarm over talks to reduce tariffs on cotton, despite the dire state of Indian cotton farming. Cotton production has declined steadily from 37 million bales in 2017–18 to a projected 31.6 million bales in 2023–24, accompanied by a rise in farmer suicides in cotton-growing regions.
“The removal of protective tariffs will pave the way for cheaper US cotton to flood Indian markets—destroying what’s left of domestic cultivation,” the SKM warned.
Stark Inequality in Farm Subsidies
The Kisan Morcha also drew attention to the structural inequality in global agriculture: In the US, only 2.6% of the workforce is in farming, yet American farmers receive an average subsidy of $61,286 per year (approx. ₹52 lakh). In contrast, 48.6% of India’s workforce is engaged in agriculture, receiving a meagre $282 per capita (approx. ₹24,000) in 2018–19.
“Despite this disparity, US agribusinesses continue to accuse India of offering unfair subsidies, making any trade agreement inherently unequal,” the SKM stated. “Such deals would trigger a price crash, aggravate the rural crisis, and devastate already vulnerable farmers.” In response, the SKM has declared its intent to join the All-India General Strike on July 9, which has been called by central trade unions. On the same day, farmers and agricultural workers across the country will stage mass protest demonstrations to oppose these anti-farmer, pro-corporate trade policies.