According to sources, India is planning to let U.S. firms bid for federal government contracts worth over $50 billion as part of an ongoing trade deal.
This follows a recent UK pact where British firms were allowed limited access to Indian contracts on a reciprocal basis.
Indiaโs public procurement market is estimated at $700โ750 billion annually, most of which is reserved for domestic firms, with 25% kept for small businesses.
Only select federal contracts will be opened to foreign firms; state and local government deals remain restricted.
India has historically avoided joining the WTOโs Government Procurement Agreement, citing protection for small firms.
U.S. officials have raised concerns over Indiaโs restrictive procurement rules; both sides aim to close a deal before July.
MSMEs will continue to get 25% reservation, and Indian businesses could gain access to foreign public contracts under reciprocity.
Navigate Stocks Like a Pro. Ask the Analyst.
Ready to invest like a pro? Unicorn Signals app equips you with 100+ Free tools and knowledge you need to succeed. Download the Unicorn Signals app and gain access to daily stock lists and insightful market analysis and much more!
Live