Both nations signed the Mutual Recognition Arrangement (MRA) for organic products under the India–Australia Economic Cooperation and Trade Arrangement (ECTA). The MRA simplifies compliance and boosts strategic trade partnerships.

Commerce Secretary Sunil Barthwal emphasized that India’s National Programme for Organic Production (NPOP) ensures integrity, strict standards, and better incomes for farmers. Organic produce commands 30-40% higher prices, benefiting rural livelihoods.

Australia’s Tom Black highlighted India’s fast-growing organic sector and diaspora’s role in trade expansion. He noted opportunities in cereals, tea, spices, beverages, and wines, with Australia having 53 million hectares of organic farmland.

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Lutnick questioned why a country of 1.4 billion people proudly boasts of its size but refuses to purchase even a bushel of American corn. He expressed surprise that India exports a wide range of products to the United States yet restricts American agricultural imports.

He argued that India continues to impose tariffs on almost everything while simultaneously benefitting from access to U.S. markets. Stressing former President Donald Trump’s stance, he said that America only seeks fair and reciprocal trade. Lutnick added that the U.S. will respond to India in the same way India treats it.

Highlighting that Washington has already imposed 50% tariffs on Indian goods, Lutnick said this was part of efforts to correct long-standing imbalances in bilateral trade. His remarks underline the rising friction in Indo-U.S. trade ties, especially in agriculture and manufacturing.

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