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‘I’m ready to pay the price’: PM Modi draws red line, says no compromise on farmers amid rising US trade pressure

PM’s remarks come as the US demands zero-duty access for farm goods, slaps 25% penalty on Indian exports over Russian oil imports.

Prime Minister Narendra Modi speaks during the M.S. Swaminathan Centenary International Conference, in New Delhi, Thursday, Aug. 7, 2025.Prime Minister Narendra Modi speaks during the M.S. Swaminathan Centenary International Conference, in New Delhi, Thursday, Aug. 7, 2025.
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In first public remarks after US President Donald Trump doubled the tariffs on India to 50 per cent ahead of more negotiations for a trade deal that has run into Indian red lines in sensitive areas such as agriculture and dairy, Prime Minister Narendra Modi said Thursday that the country “will never compromise on the interests of its farmers, livestock rearers and fisherfolk”. He said he knew he “personally will have to pay a very heavy price”, but he was “ready for it”.

In his address at the M S Swaminathan Centenary International Conference in New Delhi, Modi said, “Hamare liye apne kisanon ka hit sarvochch prathmikta hai. Bharat apne kisanon ke, pashupalakon ke aur machhuaron bhai-behnon ke hiton ke saath kabhi bhi samjhauta nahin karega. Aur mai jaanta hoon, vyaktigat roop se mujhe bahut badi keemat chukaanee padegee, lekin mai iske liye taiyaar hoon. Mere desh ke kisanon ke liye, mere desh ke machhuaron ke liye, mere desh ke pashupalakon ke liye aaj Bharat taiyaar hai.” (For us, the interests of our farmers are the highest priority. India will never compromise on the interests of its farmers, livestock rearers and fisherfolk. And I know that I personally will have to pay a very heavy price for this, but I am ready. Today, India is prepared – for the farmers of my country, for the fisherfolk of my country and for the livestock rearers of my country.)

“We are continuously working on the goals of raising farmer income, reducing cost of cultivation, and creating new sources of income,” he said. “Our government recognises farmer strength as the foundation of the nation’s progress.”

#WATCH | Delhi: Prime Minister Narendra Modi says, “For us, the interest of our farmers is our top priority. India will never compromise on the interests of farmers, fishermen and dairy farmers. I know personally, I will have to pay a heavy price for it, but I am ready for it.… pic.twitter.com/W7ZO2Zy6EE

— ANI (@ANI) August 7, 2025

“Dr M S Swaminathan taught us that agriculture is not just about crops. Agriculture is life itself. The dignity of every individual connected to the field, the well-being of every farming community, and the protection of nature – these form the very strength of our government’s agricultural policy,” Modi said.

“We must weave together science and society, place the interests of the small farmer at the heart of our efforts, and empower women who work in the fields. Let us move ahead with this very goal in mind, with the inspiration of Dr Swaminathan guiding us all,” he said.

Commenting on the Prime Minister’s remarks, Agriculture Minister Shivraj Singh Chouhan said, “National interest is paramount, farmers’ interest is paramount. Prime Minister Modi’s clear message is: Country first, farmers first. Every decision taken under his leadership gives top priority to national interest and farmers’ interest. There is trust because Modi is there… This is the firmness of leadership… These are not just words, but a resolution.”

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In the ongoing trade talks with the US, India has made it clear that agriculture and dairy remain non-negotiable. As reported by The Indian Express, New Delhi is unlikely to concede to Washington’s push for market access to genetically modified (GM) crops such as corn and soya.

“Some things are non-negotiable on principle. We can’t import GM,” a source said, indicating India’s firm stance.

Agriculture continues to be one of the most contentious areas between the two countries, with the US Trade Representative (USTR) repeatedly raising concerns over India’s restrictions on GM imports, calling them discriminatory.

On Wednesday, Washington ramped up pressure ahead of a scheduled visit by US trade negotiators to New Delhi on August 25. It doubled duties on several Indian goods – raising overall tariffs to 50 per cent – citing India’s continued crude oil trade with Russia. A 25 per cent penalty will be added to the reciprocal tariffs announced on August 1, but with a 21-day buffer before implementation.

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In a statement, the White House said the additional “25 per cent ad valorem duty” was being imposed to address a national emergency triggered by Russia’s actions in Ukraine. The executive order stated that this step was necessary due to India’s “direct or indirect” imports of Russian oil and that higher tariffs would more effectively address the situation.

The sharp tariff hike puts India at a disadvantage compared to regional competitors such as Vietnam, Bangladesh, and even China, who now face lower or more favourable trade terms.

New Delhi responded strongly to the move, calling the US action “unfair, unjustified, and unreasonable.” The government said it would do whatever is required to safeguard its national interest.

Harikishan Sharma, Senior Assistant Editor at The Indian Express' National Bureau, specializes in reporting on governance, policy, and data. He covers the Prime Minister’s Office and pivotal central ministries, such as the Ministry of Agriculture & Farmers’ Welfare, Ministry of Cooperation, Ministry of Consumer Affairs, Food and Public Distribution, Ministry of Rural Development, and Ministry of Jal Shakti. His work primarily revolves around reporting and policy analysis. In addition to this, he authors a weekly column titled "STATE-ISTICALLY SPEAKING," which is prominently featured on The Indian Express website. In this column, he immerses readers in narratives deeply rooted in socio-economic, political, and electoral data, providing insightful perspectives on these critical aspects of governance and society. ... Read More

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