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India and UK to Sign Free Trade Deal, Resolving Issues

Oct 5, 2023

By: BlinkX Research Team

India and the UK are poised to sign the much-anticipated Free Trade Agreement (FTA) by the end of this month. All lingering issues have been successfully resolved, according to an official source. UK Prime Minister Rishi Sunak is scheduled to visit India in late October to formalize the comprehensive agreement. 

This pact is projected to invigorate bilateral trade in goods and services, along with increasing capital inflows in the form of foreign direct investment. Notably, the Bilateral Investment Treaty (BIT) is set to be signed at a later date due to ongoing negotiations. 

The FTA discussions between India and the UK commenced early in 2021, addressing contentious topics like Rules of Origin, intellectual property rights, and visas for professionals. The services sector, particularly financial and business services, and transport services, were central points of interest for the UK. India's main exports to the UK include ready-made garments, textiles, gems and jewelry, engineering goods, petroleum products, and more. The UK, in turn, exports precious stones, ores, engineering goods, chemicals, and machinery to India.