The Biz Reporter

Srinagar, Feb 8 — The Chamber of Commerce & Industry Kashmir (CCIK) has welcomed the Union Government’s assurance that domestic apple growers will remain fully protected under the proposed interim trade pact between India and the United States, calling the quota-based duty framework a “well-balanced policy measure.”

Quota System and Import Duty Safeguards Apple Growers

In a statement issued on Friday, CCIK President Tarik Ghani praised Union Minister for Commerce & Industry Piyush Goyal for ensuring protective measures for domestic apple producers amid trade liberalization talks.

“The Chamber of Commerce & Industry Kashmir welcomes the assurance given by Hon’ble Union Minister for Commerce & Industry, Shri Piyush Goyal, that domestic apple growers will remain fully protected under the proposed interim trade pact between India and the United States,” Ghani said.

The CCIK President highlighted that the decision to allow apple imports only under a quota-based duty concession, coupled with a Minimum Import Price (MIP) of ₹80 per kg and an import duty of 25%, effectively ensures that imported apples do not undercut domestic produce.

“This framework effectively ensures that imported apples do not undercut domestic produce and safeguards the livelihood of lakhs of apple growers, particularly in sensitive hill regions like Jammu & Kashmir and Himachal Pradesh,” the statement read.

Apple Cultivation: Backbone of Kashmir’s Rural Economy

Emphasizing the critical importance of the apple industry to the region, Ghani stated that apple cultivation forms the backbone of Kashmir’s rural economy.

“Apple cultivation is the backbone of Kashmir’s rural economy, and any unchecked influx of low-priced imports could have severely impacted farmers, traders, and allied sectors,” he warned.

The CCIK President noted that the continuation of protective mechanisms such as MIP, quotas, and calibrated tariff reductions reflects the Government of India’s commitment to farmers, MSMEs, and local trade interests.

Gradual Trade Liberalization Appreciated

The Chamber also appreciated the government’s clarity on its approach to international trade agreements.

“CCIK also appreciates the government’s clarity that while India is engaging in trade liberalisation, it is doing so gradually and responsibly, without compromising the interests of domestic producers,” Ghani stated.

He pointed out that the capped imports from the European Union and the protection floor effectively keeping imported apples above ₹100 per kg provide further confidence to local stakeholders.

Pragmatic Approach Strengthens Sector Confidence

Describing the policy as pragmatic, the CCIK President said the balance between international trade commitments and domestic economic realities would strengthen confidence among growers, traders, and investors in the horticulture sector of Jammu & Kashmir.

“We believe that such a pragmatic approach—balancing international trade commitments with domestic economic realities—will strengthen confidence among growers, traders, and investors in the horticulture sector of Jammu & Kashmir,” he added.

Future Engagement Sought

Looking ahead, the Chamber expressed its willingness to work closely with the Central Government on trade policy matters affecting the region.

“CCIK looks forward to continued engagement with the Government of India to ensure that future trade policies remain farmer-centric, region-sensitive, and growth-oriented,” Ghani concluded in the statement.

The statement comes at a time when Kashmir’s fruit growers have been expressing concerns over reduced import duties on foreign apples, particularly from New Zealand under the Free Trade Agreement, which saw duties slashed from 50% to 25%.

The assurance from the Union Commerce Minister is expected to ease tensions and provide much-needed clarity to the apple industry, which supports over 7 lakh families directly or indirectly in Jammu & Kashmir.