Officials described the US as a “very important trade partner” and said the status of the next round of talks, scheduled for Aug. 25 in New Delhi, will only be clear closer to the date.

India continues to be “fully engaged” with the U.S. on a Bilateral Trade Agreement, Commerce Secretary Sunil Barthwal says adding that the date for the next round of negotiations has not yet been decided.

A senior Indian government official blamed the collapse on poor judgment, saying top Indian advisers mishandled the process. "We lacked the diplomatic support needed after the U.S. struck better deals with Vietnam, Indonesia, Japan and the EU," the official said.