Today: 22 August 2025
17 March 2024
3 mins read

UK, India put FTA talks on ice

The next round of formal trade talks can commence only after the Lok Sabha polls have concluded…reports Asian Lite News

The 14th round of the free trade agreement (FTA) negotiations between India and the UK has now closed, with formal negotiations being put on hold as India heads into election campaign mode as the general election schedule is announced on Saturday.

According to UK officials familiar with the discussions, a lot of progress has been made but the teams are not in a position to conclude an agreement which led to the Round 14 closing on Friday.

The next round of formal trade talks can commence only after the Lok Sabha polls have concluded.

The India-UK FTA negotiations, which opened in January 2022, are aimed at securing an ambitious outcome for bilateral trade currently worth around GBP 38.1 billion a year as per official statistics from last month.

We anticipate that while some talks might happen between rounds, the next round of negotiations will take place after the Indian elections, official sources in the UK said.

Neither side is walking away from talks. It’s just that we don’t have what we need yet to finalise a deal that meets our joint ambition across goods, services and investment. We’re very proud of the track record we have and how far we’ve been able to come with this trade deal so far. Negotiators have worked really hard in the past few years and we’ve managed to get a lot of chapters closed, the sources said.

The development follows a phone call between Prime Minister Narendra Modi and his UK counterpart, Rishi Sunak, earlier this week when both leaders reaffirmed their commitment towards securing a historic and comprehensive deal and reiterated the importance of reaching an ambitious outcome.

The UK and India are continuing to work towards an ambitious trade deal. Whilst we don’t comment on the details of live negotiations, we are clear that we will only sign a deal that is fair, balanced and ultimately in the best interests of the British people and the economy,” a UK Department of Business and Trade spokesperson said.

Last week, Commerce and Industry Minister Piyush Goyal told that long-term benefits for the economy were the key in such FTA negotiations and that India was seeking a balanced, fair and equitable deal.

His UK counterpart, Secretary of State for Business and Trade Kemi Badenoch, said during a trade conference in London earlier that while a trade deal with India is possible before general elections in the country, Britain does not want to use that as a deadline.

The bigger the country, the more complex the trade agreement. And also, the more different the economy is, the harder it is to negotiate… India is still very protectionist, where we are very, very liberalised, Badenoch noted.

The UK wants India to significantly reduce tariffs on UK exports such as food, cars and whisky that can currently be as high as 150 per cent. India in turn is concerned about the fairness of rules applied to Indian workers temporarily transferred to the UK on business visas who have to pay national insurance, despite not being eligible for UK pensions or social security benefits.

ALSO READ-62nd Tory MP calls it quits

Previous Story

62nd Tory MP calls it quits

Next Story

India goes to poll

Latest from -Top News

US sanctions more ICC judges

Washington hits at The Hague with fresh sanctions on four ICC judges and prosecutors, including French and Canadian officials, over probes targeting Israel and US actions abroad….reports Asian Lite News The United

UAE Wows Osaka!

The UAE Pavilion at Expo 2025 Osaka celebrates its three millionth visitor, blending culture, innovation, and hospitality in an immersive showcase of heritage, sustainability, and forward-looking global vision….reports Asian Lite News The

MBS & Sisi talk ties, Palestine

The two leaders reviewed the historic and strategic relations between Riyadh and Cairo and explored new ways to bolster cooperation…reports Asian Lite News Saudi Crown Prince and Prime Minister HRH Mohammed bin

Dubai’s startup supernova

Marking its 10th year, Expand North Star cements Dubai’s role as a global hub for digital innovation, uniting startups, unicorns, and investors to shape the future economy….reports Asian Lite News Expand North

Qatar: Syria’s stability key to region

Qatar, speaking for the Arab Group at the UN, urged unity and sovereignty for Syria as regional diplomacy, UN warnings, and fragile ceasefires highlight a precarious crossroads….reports Asian Lite News Qatar, speaking
Go toTop

Don't Miss

Businessman Gopichand Hinduja tops UK’s new rich list

Gopichand Hinduja, who is also called GP, was born in

UK govt handed $1.5m contract to firm that bribed Qaddafi’s son

AtkinsRealis won the contract in September 2023 and it is