"Not Trump Or Tariffs...": Piyush Goyal Tells NDTV Who Gives Him 'Sleepless Nights'

The United States' 50 per cent tariff on imported Indian goods has no link to the rationalisation and overhaul of the Goods and Services Tax framework and, crucially, does not represent a loss for the country, Commerce Minister Piyush Goyal said Tuesday at the NDTV Profit GST Conclave.

Mr Goyal also told NDTV Profit that Donald Trump's unpredictability. Othe past weeks and months, as the two countries grapple with tariffs and a stuttering trade deal, Trump has mocked India's "dead" economy while also calling Prime Minister Narendra Modi his "very good friend".

Asked, in a light-hearted moment, if Trump's frequent U-turns were causing him to lose sleep, Mr Goyal chuckled and said Mr Modi's directive - that members of the federal government spend every moment serving the people of India - gave him far more sleepless nights.

Rationalisation of the GST framework announced this month - which is expected to slash prices on a range of goods, from daily use items to luxury and aspirational products - has been linked to the tariffs.

The rate cuts have been seen as a way to spur domestic demand to offset the impact of the tariffs, which sources had earlier said could be around $48 billion.

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However, the government, starting with Mr Modi and Finance Minister Nirmala Sitharaman, has made it clear there is no connection between the GST rate revisions and America's tariffs.

Mr Goyal echoed that point Tuesday. "We don't have to worry so much about international issues because India is a power in itself now. After all, 140 crore people, who generate demand, are a very big power. Those who miss this are at a loss. The loss is not India's," he said.

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Earlier government sources told NDTV of a roadmap in the making to boost exports to markets other than the US, including Europe and the United Kingdom (with whom a trade deal has already been signed), as well as South Korea, Japan, and other Asian and West Asian nations.

The idea, sources said, is to diversify available export opportunities for Indian business.

Mr Goyal also spoke to NDTV Profit about the India-US bilateral trade agreement, progress of which had stalled after Trump's tariff announcements. He said "there are high chances of a good deal" being struck, but underlined India's red line on its agriculture and dairy markets.

READ | With Tariff Clouds Hanging, India-US Trade Talks To Resume Soon

A major reason why the India-US deal has faltered is Delhi refusing Washington access to price-sensitive agriculture and dairy markets, something Trump has repeatedly demanded.

A sixth round of talks on a trade agreement is expected shortly, sources have confirmed.