Dates for resumption of India-UK FTA to be finalized next year

New Delhi: Welcoming the British Prime Minister Keir Starmer's announcement to resume the Free Trade Agreement or FTA talks between India and the UK, the department of commerce under ministry of commerce and industry on Wednesday said that the date for the talks would be finalised in early 2025 through diplomatic channels. The department's statement comes after
Mr Starmer made the announcement following a bilateral meeting with his Indian counterpart, Prime Minister Narendra Modi, on the sidelines of the G20 summit in Brazil.

As the United Kingdom is a priority country for the achievement of our ambitious $1-trillion export target by FY30, the government feels that India's exports to the UK is expected to reach $30 billion by 2030. There have been 13 rounds of negotiations on the FTA between India and the UK; the 14th was pushed for, keeping in mind elections in both countries earlier this year.

"Subsequent to the meeting between Prime Minister Narendra Modi and the Prime Minister of the United Kingdom, Sir Keir Starmer, on the sidelines of the G-20 Summit in Rio de Janeiro, Brazil, we welcome the announcement by the UK to relaunch the India-UK Free Trade talks in the new year," the department of commerce said in a statement.

The department also said that India looks forward to closely working with the UK's negotiating team to address remaining issues to mutual satisfaction with the importance of securing a balanced, mutually beneficial, and forward-looking FTA. The dates for the free trade talks in early 2025 would be finalised through diplomatic channels at an early date. The FTA talks would resume the discussions from the progress achieved previously and seek to bridge the gaps for expeditiously closing the trade deal," it added.

As far as the FTA between two countries are concerned, negotiations started in 2022, and a substantial number of chapters have been discussed as well. Both the countries are aiming to enhance bilateral trade, evident in the political will to close the deal. India's trade relationship with the UK continues to grow steadily, showcasing immense potential for deeper collaboration and strategic engagement.

As per the latest data from April to September 2024, India's exports to the UK witnessed a robust growth of 12.38 percent, reaching $7.32 billion, compared to $6.51 billion during the same period in 2023. Mineral fuels, machinery, precious stones, pharmaceuticals, apparel, iron and steel, and chemicals lead India's export basket to the UK, contributing a 68.72 percent share of total exports.