Sunday

08-03-2025 Vol 2041

Rising Tariffs on Indian Goods Hit Local Businesses in Artesia

In Artesia, the price of pickled mango, a cherished Indian condiment, stands at $2.99 at Pioneer Cash & Carry.
But this price is set to change due to new trade tariffs affecting Indian goods.

Starting Friday, President Donald Trump has announced a 25% tariff on imports from India, following a lack of agreement between the two nations before the recently imposed deadline.
As a result, local businesses that depend on these imported products are bracing for increased prices and uncertain futures.

Devraj Keray, the owner of Pioneer Cash & Carry, revealed that some vendors have already informed him of a 25% price hike effective Monday.
Keray, whose family has operated the store since 1982, is concerned about how the rising costs will impact his customers and the business overall.
“We’ll have to pass that on to the consumer,” he stated.
“There’s not really any way around that.”

Located in the heart of Artesia’s Little India, Pioneer Cash & Carry plays a significant role in the local economy.
Keray predicts that while customers may spend less, the demand for essential grocery items will remain.
“People will cut back, so we’ll feel a bit of a pinch,” he noted, emphasizing the ever-increasing costs of doing business.

This local community, known for being one of the largest Indian enclaves in Southern California, holds deep cultural significance.
City Councilmember Zeel Ahir remarked on the importance of the business strip along Pioneer Boulevard, noting it represents the “heart and soul” of the area for many immigrants.
“It provides a sense of warmth and a homely feeling to know that the goods that were available in India for some immigrants are available here as well,” she added.

In his communication on his Truth Social platform, President Trump characterized India as a friend but expressed concerns over what he deemed high tariffs on U.S. products from India.
The newly introduced 25% tariff follows a previously established baseline tariff of 10% on imports from all foreign countries.

In 2024, exports from India to the U.S. reached more than $87 billion, while the trade deficit between the two nations was reported at $45.7 billion, marking a 5% increase from the previous year.
Common imports from India include pharmaceuticals, jewelry, textiles, and food products, all of which are expected to see price increases.

The Trump administration insists that these tariffs will bolster the economic position of the United States and safeguard American jobs.
Along with the 25% tariff, there is also a penalty in place for India concerning its purchases of Russian oil, though further details on the penalty remain unspecified.

Local business owners are reacting with unease to the changes.
Dalbir Singh Ghotra, who owns Kavita Grocery in the Palms neighborhood of Los Angeles, estimates that his business could be devastated by the tariff’s impact.
Ghotra, who has sustained his grocery store through various economic challenges over the past thirty years, has already noticed a dip in sales as customers tighten their spending amid wider economic uncertainties.

Sneh Prasad, owner of Bollywood Styles—a clothing and accessory store—expressed a similar sentiment, sharing that her sales have dropped to levels not seen in 18 years.
With most of her inventory sourced from India, Prasad is apprehensive about the future of her business.
“Businesses have already become harder for mom-and-pop stores like us,” she shared.
“If the import prices go up, I do not know how we will survive since sales may fall drastically.”

Important cultural and community establishments like grocery stores and apparel shops are facing further challenges, particularly in light of ongoing concerns over immigration policies.
Krutika Pranav, manager at Highglow Jewelers in Artesia, pointed out that the predominant customer base—largely from the Indian subcontinent—is facing fears regarding their residency status, leading to decreased foot traffic and sales.
“The tariffs will make it even worse,” Pranav lamented.

Prashant “Peter” Patel, president of the Indian American Business Assn. and Chamber, shared a broader sentiment of anxiety among Indian business leaders regarding the future.
While he hopes for diplomatic resolution, he acknowledges the urgent need for solutions to help small businesses navigate this volatile situation.
“Our goal is not to politicize this issue, but to represent the voice of those working hard every day to grow businesses that serve, employ and uplift communities,” Patel expressed.

However, optimism is dwindling among many business owners.
Keray highlighted the precarious nature of the evolving situation, likening it to a chess game where both sides are gauging each other’s moves.
“It’s just a matter of how far it goes before the consumer is the one that becomes a victim of all this,” he concluded.

image source from:latimes

Charlotte Hayes