UK-India Trade Talks Revitalize Future Economic Partnership

The UK is set to rekindle trade negotiations with India in 2025 following discussions at the G20 summit. Prime Minister Keir Starmer highlights the importance of trade for economic growth, with aims to boost job creation and prosperity. The strategy includes collaboration in vital sectors and global partnerships.

In a significant development at the G20 summit, UK Prime Minister Keir Starmer has announced the resumption of trade negotiations with India, slated for early 2025. This move follows a high-level meeting with Indian Prime Minister Narendra Modi, underscoring the UK's focus on enhancing international trade as a means to fortify its domestic economy.

Prime Minister Starmer stressed, "Boosting economic growth is key to improving living standards for working people." A potential trade deal with India is seen as pivotal in supporting jobs and prosperity in the UK, marking a strategic step in the mission to spread growth and opportunity nationwide. The renewed partnership seeks not only a trade agreement but also stronger ties in areas like security, education, technology, and climate change.

Business and Trade Secretary Jonathan Reynolds reinforced the commitment to progress in trade discussions with global partners, emphasizing, "India's status as the fifth-largest global economy makes it an invaluable trading ally for the UK. There is a promising deal to be secured that benefits both countries." He highlighted the potential for reducing tariffs, enhancing investment, and supporting over 600,000 jobs across both regions.

The resumption of UK-India trade talks is part of a broader agenda to expand the UK's international trade connections. Concurrent negotiations have been initiated with the Gulf Cooperation Council, Switzerland, and South Korea. Moreover, the UK is poised to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) by mid-December.

Trade between the UK and India is already robust, valued at £42 billion over the year leading up to June 2024, with UK exports to India contributing £16.6 billion. The anticipated trade agreement aims to fortify this relationship further, fostering job creation and economic prosperity in both nations. The UK Department for Business and Trade is set to introduce a new trade strategy, aligning with the national industrial strategy.

(With inputs from agencies.)