Uk And India Trade Agreements
As governments around the world increasingly reset their approach to trade agreements amid the coronavirus pandemic, the Narendra Modi government is stepping up efforts to renew India`s trade relations with the rest of the world by revising its free trade agreement or strategy for a free trade agreement or free trade agreement. These include reviewing and renegotiating existing free trade agreements with ASEAN, Japan and Korea, as well as strengthening trade alliances with the European Union, the United Kingdom, the United States and Australia. First, there have been a number of lessons learned from the experience of our previous free trade agreements. In 2018, a NITI-Aayog note on free trade agreements reported india`s unrivalled and growing trade deficits as a result of free trade agreements with ASEAN, Japan and Korea. It is important that the deficit has also widened for India`s dominant value-added sectors, reflecting a deterioration in the quality of India`s trade with its free trade partners. Since the two countries completed a joint trade review in 2018, work to reduce trade barriers has been carried out and, according to industry estimates, progress to date could bring up to $250 million a year to British businesses. These include the recognition and registration of polyhalit, a multinutrient fertilizer mined in the UK, which will enable UK exports and help Indian farmers increase their yields, while supporting a cleaner, greener and more sustainable environment. However, in this context, exacerbated by the fact that most countries are cautiously following their trade strategy, India must focus on far-reaching free trade agreements with trading partners that offer maximum trade complementarities, particularly in the United States and the EU. In the United States, our untapped export potential as a percentage of current exports is around 60%, compared to 90% for the EU. “What we are seeing are the possibilities for a deeper trade relationship [with India] and we see a very strong strategic case. That`s why I think we want to train our trade negotiators and see what we can do,” Raab said, and his remarks were supported by Jaishankar. Following a meeting between Finance Minister Arun Jaitley and Chancellor of the Exchequer Philip Hammond during the 9th Economic and Financial Dialogue between Britain and India, Jaitley announced that the two countries had reached a bilateral free trade agreement. But Mr Jaitley said a formal dialogue on the deal would not begin until after Brexit.
 Negotiations for a comprehensive free trade agreement between the EU and India were suspended in 2013 after six years of talks. Raab said bilateral trade increased by 11% before the Covid-19 pandemic and investments by both sides supported more than 500,000 jobs in both countries. The two sides will work next year on a “strengthened trade partnership” in the hope that it will be a “springboard to a free trade agreement,” he said. Fifth, it is essential for India to carefully select its new free trade partners. While the focus should be on countries with greater trade complementarity, making the EU, the UK and the US natural allies, it must be kept in mind that these countries are tough negotiators. The India-EU free trade agreement has been on hold since 2007, as there is no consensus on sectors such as automotive, alcoholic beverages, dairy and fishing services, RRI and fashion 1 (ITES/BPO) and fashion 3 (specialist professionals). While Trade and Industry Minister Piyush Goyal hopes for a limited trade agreement with the United States after the U.S. presidential election, a full-fledged free trade agreement with the United States is a remote possibility if conflicts such as pharma, data security and agriculture are not sorted.
However, increased cooperation in new areas such as