UK Prime Minister Keir Starmer has announced that free trade agreement (FTA) talks with India will restart from 2025, PTI reported. The announcement came after Starmer met with PM Narendra Modi on the sidelines of the G20 Summit in Rio de Janeiro, Brazil on November 18.
In an official statement from the UK PM's address 10, Downing Street, the country would seek a new strategic partnership with India, including a trade agreement and deep cooperation in areas such as security, education, technology and climate change, the report added.
Starmer's spokesperson said the UK was committed to negotiating a trade deal with India, one of the fastest growing economies in the world.
“A new trade deal with India will support jobs and prosperity in the UK -- and represent a step forward in our mission to deliver growth and opportunity across our country” a statement read.
PM Modi took to social media platform X (formerly known as Twitter), to describe the exchange as "extremely productive".
“For India, the Comprehensive Strategic Partnership with the UK is of immense priority. In the coming years, we are eager to work closely in areas such as technology, green energy, security, and innovation and technology. We also want to add strength to trade as well as cultural linkages,” he stated.
In its statement, the Ministry of External Affairs (MEA) noted that Starmer and Modi's bilateral meeting infused “fresh impetus” to the India-UK Comprehensive Strategic Partnership.
On the India-UK trade talks, Downing Street revealed the Department for Business and Trade (DBT) would soon unveil the government's new trade strategy that would be aligned with its industrial strategy to help inform all future trade negotiations and achieve long-term sustainable, inclusive and resilient growth through trade.
“India is the fifth largest economy in the world and a vital trading partner for the UK. We believe there is a good deal to be done here that works for both nations,” said UK Business and Trade Secretary Jonathan Reynolds.
“Whether it's lowering Indian tariffs to help British firms export to this dynamic market or boosting investment which already supports over 6,00,000 jobs across both countries, striking a deal is important to deliver this government's core mission of driving economic growth,” he said.
India and the UK have been negotiating a Free Trade Agreement (FTA) since January 2022, with talks paused during general elections in both countries earlier this year. According to the latest statistics, the bilateral trade relationship was worth GBP 42 billion in the 12 months to June. An FTA is expected to significantly boost the figure.
The Labour Party government in the UK is keen to highlight a trade friendly message as a means to deliver a strong economy at home and this announcement of a new year start for the talks is the first clear signal of a timeframe from the British side.
(With inputs from PTI)
