Why are farmers protesting a trade pact that India has yet to sign?

Farmer unions on Monday said they would determine their next steps after the Haryana government agreed to help arrange talks with the Centre and assured them that detained farmer leaders would be released. The announcement comes amid ongoing protests against the proposed India-US trade pact, which farm groups believe could harm India's agriculture sector if it allows cheaper American farm products into the domestic market.

Farmer leader Sarwan Singh Pandher stated that the Haryana government has agreed to organise a meeting with Union Agriculture Minister Shivraj Singh Chouhan within the next eight to 10 days. He added that officials had assured the release of detained leaders Gurnam Singh Chaduni and BM Singh after consulting the Chief Minister.

Pandher said unions would decide whether to continue their sit-in protest or revise their strategy once the detained leaders are freed and the proposed meeting with the Centre takes place.

The Centre, however, has reiterated that it will safeguard India's agricultural interests and that sensitive farm products have been excluded from the negotiations.

Why are farmers protesting?

Farmer organisations, including the Kisan Mazdoor Morcha, contend that permitting lower-cost agricultural imports from the US could seriously affect Indian farmers, farm labourers, livestock breeders and small traders.

They warn that heavily subsidised American produce could inundate the Indian market, depressing local crop prices and undermining rural livelihoods. According to them, Indian farmers — who receive significantly less state support than their US counterparts — would find it difficult to compete.

Protesting unions also claim that the proposed deal may eventually expand beyond select farm commodities to include dairy, manufacturing, digital trade, e-commerce, government procurement, intellectual property rights and services.

The unions have called on the Centre to withdraw from the proposed India-US trade pact and ensure the protection of farmers and ordinary citizens.

Resistance to the agreement has intensified in recent months. Farmer groups in Punjab have staged motorcycle rallies, and thousands of farmers nationwide last month burned symbolic copies of the proposed pact, alleging it would weaken India's agricultural sector.

Why has the deal not been signed yet?

Despite prolonged discussions, India and the United States have yet to finalise even an interim trade arrangement.

According to Reuters, the most recent round of negotiations concluded without agreement after the US failed to provide assurances on several key Indian demands. These reportedly include preferential tariff treatment over competitors such as China and guarantees that Washington would not impose new tariffs after the deal is signed.

Reuters further reported that New Delhi has remained firm on agriculture during the talks.

"Our position is clear — we will not rush into an agreement that is not on favourable terms, nor will we compromise on red lines such as agriculture," an Indian government official familiar with the negotiations told Reuters.

Commerce and Industry Minister Piyush Goyal has also emphasised that India will sign a pact only if it is balanced and mutually beneficial.

"I had excellent meetings with USTR Jamieson Greer during his visit to Delhi in June. Both sides reaffirmed their commitment to a balanced, commercially meaningful agreement that delivers tangible benefits for businesses, farmers, workers and consumers in both countries," Goyal said on Monday, according to Reuters.

Trade Secretary Rajesh Agrawal added that the framework for the agreement is ready and will be signed "at the appropriate time", indicating that discussions are ongoing.

What has the government said?

The Union government has repeatedly sought to reassure farmers that sensitive agricultural products are being safeguarded in the negotiations.

Officials insist that India will not compromise its core agricultural interests to clinch the trade pact. The government has also underlined that protective measures will be incorporated into any final agreement to shield domestic farmers.

Commerce Minister Piyush Goyal has previously stated that India will move forward with a deal only if it secures clear benefits for the country and its stakeholders.

The government's stance is that any proposed agreement should generate opportunities for businesses, farmers, workers and consumers without undermining India's key priorities.

What are the main demands of the farmers?

Farmer unions say their protest is intended to prevent concessions on agriculture before the agreement is concluded.

They argue that once market access is granted, reversing such decisions would be difficult, making it crucial to raise objections while negotiations are still in progress.

The agitation also reflects demands for greater transparency in the negotiation process and firm guarantees that agriculture and allied sectors remain protected.

As India and the US continue their talks, agriculture remains a major sticking point. While the government maintains it will not cross its "red lines", farmer groups want those assurances clearly embedded in the final agreement before any pact is signed.