The fourteenth round of free trade agreement (FTA) negotiations between India and the UK came to a temporary halt on Friday, preceding the anticipated announcement of general election schedules by the Indian Election Commission on Saturday. UK officials involved in the discussions disclosed that this pause had been foreseen as India transitions into election campaign mode.
The formal trade talks are expected to resume only after the Lok Sabha polls conclude. Initiated in January 2022, the FTA negotiations aim to forge an ambitious trade agreement to enhance the current bilateral trade volume of approximately GBP 38.1 billion annually.
Despite the current hiatus, officials from both sides reiterated their dedication to finalising a comprehensive deal that encompasses various sectors including goods, services, and investments. This development follows Prime Minister Narendra Modi and UK counterpart Rishi Sunak’s recent reaffirmation of their commitment towards achieving a substantial and mutually beneficial trade pact. While both nations lock horns over issues such as tariff reductions on exports and fairness in rules for temporary workers, the continuity of negotiations underscores the shared determination of India and the UK to secure an equitable trade agreement for their economies.
