The negotiations on the free trade agreement with the United Kingdom will resume by the end of January after remaining suspended since May this year because of elections in both the countries, a senior official said Thursday.
“The firm date of the next round of talks has still not been communicated by the UK so far,” the official who did not wish to be named said.
He also said that the statements by US President-elect Donald Trump on additional tariffs on imports from Canada, Mexico and China could result in gains for India.
The FTA negotiations between India and UK were launched in January 2022 and since then 14 rounds of talks have been held between officials of both sides. With the UK various rounds of negotiations have been long drawn. Last few rounds of talks have extended for months, sometimes with breaks.
Despite the intensity of discussions some of the issues are still to be sorted out. From an Indian point of view, the UK’s demand for greater market access in automobiles, whiskey and some other trade related issues like rules of origin and intellectual property rights are key areas that are taking time for resolution.
In the services sector the UK is seeking national treatment for its companies. India’s demand for easier access to the UK market to its professionals through a liberal visa regime is one of the areas where common ground is eluding the negotiators.
Earlier speaking on the issue of mobility of professionals at an CII’s Global Economic Policy Forum Commerce Secretary Sunil Barthwal said developed countries are confused about the concept of migration and mobility.
“If Indians or Indian companies are setting up bases in other countries, then mobility of professionals needs to be ensured, ” he said adding “we are not asking for migration, we are asking for mobility”.
In FTAs (free trade agreements), this is the point of negotiations with most of the developed world. Smooth movement of these professionals are key issues in India’s proposed FTAs with countries including the UK and European Union.
He also emphasised on the need to build a narrative that mobility is essential for growth of the services sector as a whole.
Apart from FTA, India and UK are also negotiating an invest treaty.
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