NEW DELHI (Reuters) – The United States is in talks with India on market access for its goods in exchange for reinstating New Delhi’s trade concessions under the Generalised System Of Preferences (GSP), U.S. ambassador to India Kenneth Juster said on Thursday.

“The GSP by law requires that there be some market opening measures in recipience of that preferential system, and that’s what we have been trying to reach an agreement on with the government of India,” Juster said at India Global Week 2020, an online business summit.

Last year, Washington scrapped India’s trade concessions under the GSP programme that allowed duty-free entry to the U.S. market for up to $5.6 billion of Indian exports in retaliation for New Delhi’s high tariffs and rules on e-commerce.

Juster also said India and the United States needed to move to a free trade pact.