Solvent Extractors Association of India (SEA) has said that although the India-US bilateral trade agreement is expected to expand market access across a broad spectrum of commodities, including agricultural and processed foods, there is a need to focus carefully on specific sectors.
In his monthly letter to SEA members on Friday, association president Sanjeev Asthana said the agreement is being closely watched by industry stakeholders given the scale and scope of bilateral trade engagement under discussion.
Stating that specific areas of the edible oil and oilseed ecosystem need careful attention, he said the discussion on biotechnology and genetically modified crops remains a sensitive issue, especially for soybean meal.
Increased access to US-origin DDGS could impact India’s domestic feed and maize markets. Regulatory caution must be exercised when balancing trade reciprocity.
He said expanded bilateral trade offers opportunities in various sectors, but it is essential to safeguard agricultural price stability and domestic oilseed competitiveness.
budget allocation
Rs 1.63 lakh crore has been allocated for agriculture in the Union Budget 2026-27, confirming the importance of the sector for approximately 46 per cent of India’s workforce and overall food security.
Irrigation expansion, allied activities, credit support and emphasis on high-value crops such as coconut, cashew, cocoa and sandalwood are aimed at diversifying farm incomes and strengthening rural value chains.
For the oilseeds sector, these measures are important in supporting productivity growth and expansion beyond traditional producing areas.
A major structural initiative is the launch of Bharat Vistaar, an AI-powered agricultural intelligence platform that integrates AgriStack and ICAR data to enable real-time advisory services and data-driven policymaking.
However, he said, lower allocations under major export promotion schemes, especially Remission of Duties and Taxes on Exported Products (RoDTEP), have raised concerns in export sectors.
Going forward, Asthana said, maintaining a balanced approach between strengthening domestic agriculture and maintaining export competitiveness will be important to ensure overall regional stability and growth.
SEA has proposed to include specific HSN codes – sal-based cocoa butter equivalents, sal stearin, mango butter, kokum butter and shea stearin, which are products made from minor forest produce – in the ongoing tariff relief negotiations between India and the UK.
He said, these forest products are collected by tribals and inclusion of these HSN codes will enable the UK chocolate and cosmetic industries to import these at concessional import duties, which will greatly benefit the Indian tribal population.
Published on February 20, 2026
