Round 14 of India-UK FTA Talks Close Ahead Of Election Schedule
LONDON: 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 was 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.