Cultural Ethos & Farmer Livelihoods Halt Trade Deal Amid US Import Dispute.
A significant cultural and economic chasm has emerged as a major impediment in the highly anticipated billion-dollar India-US trade deal: the import of dairy products from the United States. India has famously dubbed these contentious imports “non-veg milk,” a term referring to milk sourced from US cows that are fed animal-based products, including meat or blood. This deep-seated reluctance by India stems directly from its profound cultural and religious ethos, particularly given that a substantial portion of its population adheres to vegetarianism, and milk, along with ghee, holds sacred importance in Hindu religious rituals.
India has drawn an unequivocal “red line” on allowing such dairy products into its market. The nation is demanding stringent certification protocols to guarantee that source animals have never been fed meat or bone meal. This includes an absolute prohibition on internal organs, blood meal, and tissues derived from ruminant or porcine origin, with the sole exception of milk and milk products themselves. This demand is critical, as it is widely known that cows in the U.S. dairy industry are permitted to consume various animal by-products, including parts of pigs, fish, chicken, horses, and even pet animal derivatives like cats or dogs, alongside pig and horse blood and tallow.
Beyond the profound cultural and religious implications, opening India’s dairy sector to US imports carries severe economic risks for its vast community of dairy farmers. An in-depth analysis conducted by the State Bank of India (SBI) paints a stark picture, estimating potential annual losses of up to Rs 1.03 lakh crore (approximately $12.3 billion USD) for Indian farmers. Such an influx of foreign dairy could trigger a dramatic drop in the price of milk in India, potentially by at least 15 percent.
Given the immense vital role the dairy sector plays in India’s sprawling rural economy and with upcoming elections influencing policy decisions, the Indian government is unwavering in its commitment. Its primary objective is to protect the livelihoods of its millions of small and marginal dairy farmers, who form the backbone of the nation’s agribusiness. This unyielding stance on dairy imports has consequently become a persistent and formidable sticking point in the protracted India-US trade negotiations.
For the international dairy community and trade policy analysts, this unique standoff highlights the complex interplay of economics, culture, and ethics in global commerce. The “non-veg milk” debate transcends typical trade barriers, embodying a clash of values that could ultimately determine the scope and success of a major bilateral agreement between two of the world’s largest economies. This situation underscores the critical need for cultural sensitivity and nuanced understanding in global dairy trade.
Source: Times Now News: Why ‘non-veg milk’ is a blocker in the billion-dollar India-US trade deal, explained
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