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Talks on trade deal between India and America can be made soon.

Talks are going on rapidly on trade deal between India and America. During this time, such statements are coming from the US President, which indicate that he wants to make a trade deal with India as soon as possible. On the other hand, there have been some indications from India also that there should be no problem in making this deal. However, US President Donald Trump has said that India has stopped buying Russian oil, on which a statement has come from India that India is an independent country and it takes its own decisions. But the data on Russian oil tells a different story. On the other hand, the rise in the stock market is also promoting the sentiment that both the countries can reach a conclusion soon, and the extra tariff of 25 percent can be removed.

The positive environment regarding trade deals has not been created just like that. The way India has talked about buying gas and oil from America and has proposed a long-term deal is also an important reason. Also, there has been an increase in investment by foreign investors since last one week. Investments worth more than Rs 3 thousand crore have come into the stock market, which is an indication that a consensus seems to be emerging on the trade deal. Apart from this, the price of crude oil has come down to $62. In such a situation, there may be a further decrease in the import of Russian oil. Also, India may once again become dependent on its old suppliers. At the same time, India's trade deal with Europe and Britain has also forced America to think again. On the other hand, the decreasing inflation figures in the country have given India an opportunity to negotiate better with America. Come, let us try to understand all these signs in detail…

Reduction in Russian oil supply

According to trade sources and shipping data, India's Russian oil imports declined by 8.4 percent year-on-year between April and September. The reason for this is discount and reduction in supply. Refiners are demanding more oil from the Middle East and America. Indian refiners imported 1.75 million barrels of Russian oil per day in the first half of this fiscal year, which began April 1, according to shipping data obtained from trade sources. According to the data, imports in September remained stable compared to August and stood at 1.6 million barrels per day, which is 14.2 percent less than the same month last year.

US trade negotiators have said that curbing purchases of Russian oil is crucial to reducing India's tariff rates and finalizing a trade deal. Meanwhile, India's crude oil imports from the US increased by 6.8 percent to about 213,000 barrels per day in April-September compared to the previous year.

India will buy oil and gas from America

A senior Commerce Ministry official said on Wednesday that India has the capacity to buy additional $15 billion worth of oil from America. This indicates India's intention to accelerate trade talks and reach a compromise. India's Trade Secretary Rajesh Aggarwal said in New Delhi on Wednesday that data over the past few years shows that energy purchases from the US have increased. He said that according to the figures of FY 2025, currently we are at an average of $ 12-13 billion and with the existing refinery structure there is scope for another $ 14-15 billion. At the same time, a few days ago, government gas companies are also talking about a long-term gas deal with America.

crude oil prices

On the other hand, a big decline is being seen in the prices of crude oil in the international market. At the same time, OPEC and America are also increasing the supply, due to which the importance of Russia for India may end. Its effect will be seen even more in supply. At present, the price of Brent crude oil has come down to $62 per barrel, due to which the supply of Russian oil may reduce further. This can benefit the trade deal of both the countries.

Trade deal with Europe and Britain

India is moving forward rapidly in trade with Europe. A deal can be reached between the two parties soon. India has already signed deals with some European countries. At the same time, a trade deal with Britain is also almost certain. In such a situation, America also wants to make a trade deal with India as soon as possible, so that the benefits America can get from India do not shift towards Europe and Britain. Besides, India's trade deal with two important regions of the world, Europe and Britain, is also a big pressure on America.

stock market boom

The stock market is seeing an increase of 3 percent in the month of October, which is an indication that trade between America and India is progressing in a positive manner. In the last few months, the impact of American tariffs on India and the Trump administration's rhetoric against India was visible in the stock market. Since October 1, a lot of change is being seen in the attitude of Trump and his administration. During this period, Trump has called the country's Prime Minister Narendra Modi 'dear friend' several times.

investment by foreign investors

Recent investments by foreign investors have also indicated that a trade deal may soon be struck between India and America. According to stock market data, in 5 out of the last 7 trading days, foreign investors have purchased more than Rs 3 thousand crores. Experts say that there are indications from foreign investors that the trade deal is on a positive path. If this had not happened then foreign investors would have continued their profit booking. Till September, foreign investors have withdrawn Rs 2 lakh crore from the stock market.

Inflation pressure reduced

On the other hand, inflation pressure has reduced significantly in India. According to the latest data, retail inflation in India is at 1.50 percent, which is the lowest level in 8 years. Due to better monsoon rains, the production of pulses in India is expected to increase, due to which India has got better negotiating power to deal with America. India imports a lot of pulses from America. But due to increase in domestic production, imports are likely to reduce. On the other hand, inflationary pressure on America has increased. If it does not make a deal with India soon, then inflation pressure in America may be seen increasing further.