Indo-US trade deal will devastate horticulture sector: Mufti

Suhail Bhat

SRINAGAR, Feb 20: Peoples Democratic Party (PDP) president Mehbooba Mufti today urged Prime Minister Narendra Modi to impose a 50% import duty on American apples, warning that zero-duty access under the Indo-US trade deal could devastate Jammu and Kashmir’s horticulture sector and trigger large-scale unemployment.

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Addressing a press conference here, Mufti said the removal of protective duties for domestic producers would disproportionately affect Jammu and Kashmir, where the economy is heavily dependent on horticulture. “It is very difficult to estimate the scale of impact, but it will be very negative for fruit growers, especially apple and dry fruit producers,” she said.
She said she had earlier raised the issue with Union Commerce Minister Piyush Goyal, warning that any free trade arrangement allowing duty-free imports from the United States or under earlier agreements with the European Union would harm growers in Jammu and Kashmir and Himachal Pradesh.
According to Mufti, lakhs of families and millions of young people are directly or indirectly linked to apple, walnut and almond cultivation. “These young people do not fall under Scheduled Caste, Scheduled Tribe or OBC categories. Their livelihood comes from orchards. If this sector weakens, unemployment will increase because we have no industries in Jammu and Kashmir,” she said.
She said local farmers would be unable to compete with heavily subsidised American growers. “In the United States, farmers receive subsidies ranging from 30,000 to 40,000 US dollars. They get 60 to 70 percent insurance coverage. If there is a natural disaster, a disease like COVID, a trade war loss, or a market crash, the Government compensates them,” she said.
She added, “In comparison, our farmers receive only Rs 1,200 to Rs 1,500 support, and they have to pay for electricity. There is no strong crop insurance, no capital investment and no comparable subsidy.”
Mufti also pointed to weak infrastructure in J&K, including inadequate cold storage, poor food supply chains, frequent road closures and high transport costs. Farmers, she said, bear the cost of fertilisers and pesticides themselves, further raising production expenses.
She warned that the consequences would extend beyond economics. “After 2019, people of J&K have shown patience despite many hardships. But if you hit their backbone, the fruit industry, the social impact could be serious,” she said, citing rising unemployment and drug addiction among youth.
Mufti urged the Prime Minister to reconsider the policy, impose at least 50% import duty on foreign apples and strengthen crop insurance and infrastructure to safeguard the horticulture industry of Jammu and Kashmir.