India-US deal: Some J&K fruit growers on edge, others call it opportunity to better their produce

Srinagar: The fruit growers and dealers in Kashmir are worried about the adverse effects of the India-US trade deal on local economy but there are voices within the fraternity who claim the agreement will stabilise the prices and improve the quality of the local produce.

Javaid Ahmad Lone, a walnut farmer and dealer from south Kashmir Shopian district, said the imported goods from the US will push the local farmers to improve their stock if they want to stay in the business.

Also Read: The revisions in India-US trade deal factsheet by White House


" Protectionism is not good for the farmers all the time. They become complacent as they have a captive market. For example, the rates of local almonds and walnuts in Kashmir fluctuate like share market. No one is sure what is happening," Lone told PTI.

He said with steady flow of walnuts and almonds from the US, the prices of local produce will also stabilise.

"The imported walnuts and almonds have better quality and were already very competitive with tariffs. The local farmers will have to improve their quality as well. That's the benefit of competition," he added.

However, the fruit growers and dealers fraternity in general feel that the trade deal will be a severe blow to the Kashmir economy which significantly depends on horticulture.

President of the fruit growers and dealers union Bashir Ahmad Bashir has written to Prime Minister Narendra Modi, highlighting the reduced tariffs on imported apples will put the apples from Kashmir and Himachal at a huge disadvantage.

"The marginal farmers have been badly affected by import of apples from Iran, the US, New Zealand. Rising input costs, sudden changes in weather and outbreak pests have put the entire horticulture sector under financial stress. The reduction in duties will be the proverbial final nail in the coffin," Bashir said.

He said the need of the hour was to impose 100 per cent import duty on foreign apples.

Also Read: India-US tariff deal is a 'humiliating' cave-in: Swaminathan Aiyar

"If imported apples get a free run in India, the horticulture economy will plunge into crisis," he added. According to officials of the horticulture department, nearly 20 lakh people earn their livelihood directly or indirectly from horticulture activity in Jammu and Kashmir.

Chief minister Omar Abdullah on Tuesday raised serious concerns over the India-US interim trade deal, saying it could adversely impact the Union Territory's dry fruit and horticulture economy.

Abdullah said duty-free imports of tree nuts such as walnuts and almonds could hurt the local farmers. "Tree nuts, walnuts and almonds originate from Jammu and Kashmir. Allowing them duty-free imports raises questions about the sympathy for our farmers," Abdullah said, adding that apples should also have been protected.

Opposition PDP claimed the India-US trade deal would spell doom for the economy of Jammu and Kashmir if no tariff is imposed on the import of agricultural and horticultural goods from the US.

"They have not thought of the impact of the India-US trade deal on the horticulture sector of Jammu and Kashmir. There will be zero tariff on agriculture products imported from the US. What will happen to the apple and walnut produced in Jammu and Kashmir?" PDP spokesman Mohammad Iqbal Trumboo said.