Modi, Trump ‘very close’ to trade deal

Indian Prime Minister Narendra Modi on Wednesday urged the Group of Seven (G7) nations and their financial institutions to aid the Global South‘s recovery from the disruption of the Middle East conflict.

“The disruptions to fuel, fertilizer, and food supply chains caused by the crisis in West Asia will continue to have a significant impact on the Global South for some time,” Modi said in a speech in France.

“If we are truly committed to strengthening international solidarity, the most vulnerable countries should not be left to bear the burden of these crises alone,” he said, calling on international financial institutions to “develop support mechanisms that help developing countries absorb such shocks and sustain their economic resilience.”

India’s economy, among several other Asian nations, has been hit by the conflict which disrupted the supply chain of key raw materials to the continent. Moreover, the oil price shock has strained several industries. 

In the past, Modi and Trump have shown warmth and friendship towards each other, including bear hugs and periodic praises. But ties between Washington and New Delhi cooled over a series of issues, one of the largest being Trump’s 50% tariffs on India. 

More recently, the US Navy attacked several vessels on the Strait of Hormuz, killing three Indian sailors. India’s foreign minister lodged a “strong protest” with Washington, while US State Secretary Marco Rubio released a statement which didn’t go down well with Indians.

Trump appeared to smooth that out in front of reporters in France. 

“He’s a very tough negotiator, one of the toughest, actually. So you look at this man, I’ll give you a lesson,” the US president said, speaking of Modi.

“He’s the most beautiful looking man. He looks so nice. He’s like an angel, but actually he’s a killer.” 

Indian Prime Minister Narendra Modi and US President Donald Trump made “significant progress” in the long-awaited trade deal as they met in France, India’s Foreign Ministry said in a statement.

“The leaders noted with particular satisfaction the significant progress made in negotiations towards an interim Bilateral Trade Agreement and instructed their officials to work towards a balanced, mutually beneficial, and commercially meaningful agreement at the earliest,” India’s Ministry of External Affairs said in a press statement.

When a reporter asked Trump when the deal would be signed, the president said they were “very close.”

New Delhi and Washington are currently operating on an interim trade deal, arrived at in February after a phone call between Modi and Trump. 

A final deal was supposed to be negotiated by March, but has been delayed over Washington’s desired access to India’s farm sector, strained diplomatic ties, and fresh tariff threats from the US.

Many hoped that the in-person meeting between Trump and Modi would do the trick.

US Trade Representative Jamieson Greer will be visiting India next week.

Good morning! and welcome to DW’s India news blog.

This is Mahima Kapoor from the New Delhi bureau, here to give you sharp and clear insights into what’s happening in the world’s most populous country. We will cover the latest news points, what people are talking about and what the bureau has it’s eye on. 

Prime Minister Narendra Modi is fresh from his meeting with US President Donald Trump, on the sidelines of the G7 meeting in France. Despite strained diplomatic relations and Washington’s growing snubs to New Delhi, the two leaders seemed as friendly as ever. 

The meeting also seems to have pushed a critical and pending trade deal forward. 

At home, India is gearing up for the retest of the NEET-UG examinations. That’s a national medical entry test taken by over 2.2 million students every year. The original exam, in May, was canceled after the paper was leaked, leading to several students committing suicide, the emergence of a youth movement demanding the education minister’s resignation and a temporary ban on the messaging platform Telegram.

Now all eyes are on the retake, which will also test India’s capability to conduct the large-scale exam without failing its students. 

Meanwhile, India’s eastern state of West Bengal appears to be operating on chaos. That’s a month after Modi’s Bharatiya Janata Party won power in the state for the first time in history, ending the rule of Indian political veteran Mamata Banerjee. Now, the survial of Banerjee and her party hangs in the balance. 

Stay tuned for all of that and more!