New Delhi, Sept 11 (KNN) India has taken a decision to cut the import duty to 5-10 per cent on some fresh and processed food items in order to settle its dispute with Washington at the World Trade Organization (WTO). 

The duties will be reduced on import of frozen turkey, frozen duck, fresh/frozen/dried/processed blueberries, and cranberries. Currently, these items attract import duty of around 30-45 per cent, reported Business Standard.

“The duty reduction is on MFN (most favoured nation) basis,” government officials said.

So, while the duty reduction is a result of the negotiations between India and the US, the tariff cut will be applicable to all WTO member nations, according to the WTO’s MFN principle. 

This was announced by the United States Trade Representative (USTR), on the sidelines of the G20 Leaders’ Summit in New Delhi which concluded on Sunday.

A bilateral meeting was held between Prime Minister Narendra Modi and US President Joe Biden on Friday.

While the product-specific import duty reduction is yet to be announced, people aware of the matter said that the finance ministry’s revenue department will notify the duty cut in less than six months. “There’s time up to 180 days …Customs will decide the appropriate time,” a person aware of the matter told Business Standard.

The announcement came as part of the seventh trade dispute between the two nations at the WTO over poultry imports from Washington.  (KNN Bureau)