India–US Trade Agreement Set To Transform MSME Export Prospects: CAIT

The Confederation of All India Traders (CAIT) has welcomed the finalisation of the first tranche of the India–US trade agreement, describing it as a major opportunity for India’s Micro, Small and Medium Enterprises.

The traders’ body said the deal will allow Indian businesses to expand their presence in the American market.

In an official statement, CAIT said, “This trade deal reached under the visionary and decisive leadership of Prime Minister Narendra Modi marks a major milestone in India’s journey towards becoming a global economic powerhouse comes as a boon for the MSME sector. This agreement reflects India’s growing stature as a confident, competitive and reliable trade partner on the world stage.”

CAIT Secretary General Praveen Khandelwal said the trade agreement will deliver significant benefits to several Indian industries.

These include textiles and garments, leather goods and footwear, gems and jewellery, generic medicines, auto and aircraft components, chemicals, plastics, rubber products, handicrafts, home décor and select engineering sectors.

He pointed out that better market access, combined with tariff adjustments, will strengthen India’s export competitiveness in the United States, enabling Indian products to perform more effectively in a highly competitive environment.

Strengthening the MSME Backbone

Khandelwal stressed that the most significant impact of the deal will be felt by the MSME sector, which plays a crucial role in India’s economic framework. Expanded export avenues will help small enterprises increase production capacity, reach global markets and create employment opportunities, particularly for women and young professionals.

He further said the agreement will reinforce the Make in India programme by integrating domestic enterprises more deeply into international supply chains.

“At the same time, the agreement safeguards India’s core national interests, particularly in sensitive agricultural and rural sectors, underscoring the Indian government’s balanced and farmer-centric trade approach,” the CAIT Secretary General Praveen Khandelwal said.

“Overall, the India–US trade deal is a forward-looking initiative that will accelerate exports, promote entrepreneurship and reinforce India’s path towards “Atmanirbhar Bharat” and “Viksit Bharat”,” CAIT Secretary General Khandelwal added.

Overall, CAIT described the India–US trade deal as a progressive initiative that will boost exports, encourage entrepreneurship and support India’s long-term vision of Atmanirbhar Bharat and Viksit Bharat.

CAIT represents more than nine crore traders and over 40,000 trade associations across India’s non-corporate sector and has been advocating for small businesses since 1998.

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