Negotiations between India and the UK for the proposed free trade agreement (FTA) are at the last stage and it now is distinct that the deadline of Diwali (in October) would not be missed.
In April, both the countries had set the Diwali deadline for the conclusion of an India-UK FTA.
BVR Subrahmanyam, Commerce Secretary, said that both countries are on track to meet the deadline and 19 out of 26 chapters are closed.
He added “There are a couple of areas where we are negotiating and the Diwali deadline is not going to be missed.”
Talks are happening on certain goods from both the countries.
Also Read: India-UK FTA can happen by Diwali 2022; India’s apparel export to benefit a lot
UK is an important market for Indian apparel exporters and compared to its competitor countries, Indian apparel exporters have a duty disadvantage of 9.6 per cent in the UK.
Prior to pandemic in 2019, the total import of apparel in the UK was US $ 24.9 billion. Out of this, imports from Bangladesh were US $ 3.6 billion, while it was US $ 1.4 billion for India.
In January, both countries formally launched talks for an FTA to boost bilateral trade and investments.
He also said that, regarding the proposed trade pact with Canada, talks are on track as two rounds have already been concluded.
The third round will be held at the end of September and the target is to conclude the same by December.
With the European Union, the second round will happen now, which is expected to conclude in June-July next year.
As far as Australia is concerned, trade pact is expected to get approval from their Parliament by the end of this month. It was signed in April this year.
