UK and India aim for free trade agreement by October
NEW DELHI :
Prime Minister Narendra Modi and his UK counterpart Boris Johnson on Friday set a target of concluding negotiations for a free trade deal by October and unveiled an expanded defence partnership that envisages easier access to British military hardware and technology.
During their meeting in the national capital, the two leaders discussed ways to enhance cooperation in green technology and healthcare and exchanged views on issues such as counter-terrorism, ensuring a free and open Indo-Pacific, the situation in Afghanistan and the Ukraine crisis.
The Indian side made it clear there was “no pressure of any kind” from Johnson on the Ukraine conflict, while the British premier framed the discussions in the context of democracies working together to tackle “shared anxieties about autocracies and autocratic coercion around the world”.
A proposed free trade agreement (FTA) was one of the priorities of Johnson’s visit, with the two sides set to begin the third round of negotiations on the deal on 25 April. The two prime ministers set a target to conclude the “majority of talks on a comprehensive and balanced free trade agreement by the end of October”, a joint statement said.
“As the next round of talks begins here next week, we are telling our negotiators—get it done by Diwali in October…This could double our trade and investment by the end of the decade,” Johnson said at a joint media interaction with Modi.
Modi said teams from both sides made good progress in negotiations, and the two countries have decided to make full efforts to conclude the FTA by the end of this year. “In the last few months, India has concluded FTAs with the United Arab Emirates and Australia. At the same pace, with the same commitment, we would like to move forward on the FTA with the UK as well,” he said.
Addressing a news conference subsequently, Johnson acknowledged there were difficult issues such as tariffs on whisky but said there is also a “massive push” from both governments to get the FTA done. “All trade agreements are tricky… there will be tough asks on both sides, but I’m sure we can do it,” he said.
“A firm message has gone out from our friends to make progress, and I’m optimistic,” Johnson added.
During the media interaction with Modi, Johnson underscored the need to deepen cooperation, including keeping the Indo-Pacific open and free in the face of threats. In this context, he said the two sides had agreed on a new and expanded defence and security partnership that will also support the “Make in India” initiative.
“The UK is creating an India-specific Open General Export License, reducing bureaucracy and slashing delivering times for defence procurement. We’ve agreed to work together to meet new threats across land, sea, air, space and cyber, including partnering on new fighter jet technology [and] maritime technologies to detect and respond to threats in the oceans,” he said.
Modi welcomed the UK’s support for “Atmanirbhar Bharat”.
Defence and security cooperation is one of the five pillars of the India-UK comprehensive strategic partnership and the Roadmap 2030.
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