Both nations aim to triple bilateral trade within a decade.
Our Bureau
New Delhi
In a significant move to bolster economic ties, India and the UK have recommenced discussions on a free trade agreement (FTA) in New Delhi. The talks, which were suspended due to upcoming elections in both countries, resumed on Monday with UK Business and Trade Secretary Jonathan Reynolds meeting India’s Commerce and Industry Minister Piyush Goyal. This marks the first round of negotiations since the Labour Party took power in the UK, with Reynolds emphasizing that finalizing a deal is a “top priority” for the current government.
The proposed agreement aims to triple bilateral trade within a decade, currently valued at $20 billion annually. Both nations are keen to leverage their complementary economies to unlock new opportunities. Key issues include India’s tariffs on Scotch whisky and requests to ease visa restrictions for Indian students and professionals traveling to the UK.
The resumption of talks follows discussions between Prime Ministers Narendra Modi and Keir Starmer at the G20 Summit in Brazil. India’s growing economy, projected to become the third-largest globally by 2028, presents substantial opportunities for UK businesses. The UK seeks to boost its growth agenda through this deal, which could support jobs and prosperity across the country.
As negotiations progress, both sides are committed to achieving a balanced and mutually beneficial agreement. The talks also cover a Bilateral Investment Treaty and a Double Contribution Convention Agreement, all of which are being pursued in parallel. With global economic uncertainties, including tariff threats from the U.S., both nations are pushing forward with a focus on strengthening their economic partnership.
