Chidambaram Pours Cold Water on India-US Trade Deal Celebrations

When news of a fresh India-US trade deal hit the headlines, some might have expected a round of applause. But not P. Chidambaram, it seems. The veteran Congress leader and former Finance Minister certainly wasn't buying into the celebratory mood, launching a rather pointed critique of what he called a mere 'framework' rather than a substantive agreement.

His immediate reaction? A sharp, almost rhetorical question: "How is this, pray tell, a matter for celebration?" It's a fair point when you consider his argument that the deal falls far short of a comprehensive, mutually beneficial pact. For Chidambaram, what's been unveiled is little more than a foundational structure, leaving many crucial details unaddressed and, frankly, India's gains looking rather thin on the ground.

And he didn't stop there. Chidambaram was quick to draw parallels, reminding everyone of the much-touted "interim deal" between India and the US back in 2019-2020 – a deal, by the way, that never really saw the light of day. This historical context certainly adds a layer of skepticism to the current announcements, suggesting a pattern of limited progress being overblown.

One of his core arguments revolves around the existing trade dynamics. "Let's be clear," he seemed to imply, "India actually enjoys a healthy trade surplus with the US." He pointed out that for the fiscal year 2023-24 (up to February 2024), India had a surplus of a staggering USD 29 billion with the United States. With such a strong hand, one might expect India to secure more tangible concessions. Instead, what we often hear, Chidambaram noted, is the US pressing for greater market access within India. This imbalance clearly struck a nerve.

This led to his crucial question, the one that probably resonates with many: "What exactly did India get in return?" It's a fundamental query, isn't it? If the deal is being celebrated, there should be clear, demonstrable benefits for India, beyond just a 'framework.' He highlighted that the US continues to push for specific demands, particularly regarding increased market access, yet the reciprocal benefits for India remain largely opaque in this latest agreement.

And just to underscore the sluggish pace of significant trade agreements, Chidambaram couldn't resist a subtle dig at the long-drawn-out negotiations for a Free Trade Agreement (FTA) with the European Union. While the EU-India FTA is still very much a work in progress, often riddled with its own set of complexities and delays, it serves as a stark reminder of how challenging it is to forge truly comprehensive economic pacts. The 'framework' with the US, in this context, feels even less substantial.

Ultimately, Chidambaram's message is a clear call for substance over symbolism. He's essentially telling us to hold off on the confetti and instead demand a deeper, more equitable trade agreement that genuinely serves India's economic interests, rather than settling for what he views as a rather modest, almost perfunctory, step forward.