Indian Prime Minister Narendra Modi said on Thursday he will not compromise the interests of the country's farmers even if he has to pay a heavy price, in his first comments after U.S. President Donald Trump's salvo of a 50% tariff on Indian goods.

The backdrop for this meeting is escalating trade tensions following Washington's decision to double tariffs on Indian goods to 50 per cent. The latest increase, an additional 25 per cent duty, was announced by US President Donald Trump on Wednesday. The justification cited for this hike was India's continued purchase of Russian crude oil.

The Indian prime minister has said his country "is ready" to react to President Donald Trump's additional 25 percent levy on goods entering the U.S.