India and the UK on Thursday agreed on the importance of the early conclusion of a comprehensive and balanced Free Trade Agreement (FTA), Prime Minister Narendra Modi said after speaking to his British counterpart Rishi Sunak.
The proposed FTA has already missed its Diwali deadline, set by Modi and Sunak’s predecessor Boris Johnson when the latter visited India in April.
While the Diwali deadline was always seen as an ambitious one — even for a limited deal — questions on the fate of the FTA were raised after British home secretary Suvella Braverman expressed reservations about it on the premise that it could increase migration to the UK.
She subsequently stepped down from the short-lived Liz Truss ministry, citing an administrative lapse, but Sunak has brought her back in the same capacity and defended his decision on the floor of Parliament.
In the wake of Braverman’s remarks, Truss’s office had sought to allay fears about the proposed FTA being derailed.
Sunak made no mention of the FTA in his tweet about the conversation with Modi: “Thank you Prime Minister @NarendraModi for your kind words as I get started in my new role. The UK and India share so much. I’m excited about what our two great democracies can achieve as we deepen our security, defence and economic partnership in the months & years ahead.”
But a Downing Street spokesperson told The Telegraph: “The Prime Minister hoped the UK and India could continue to make good progress in negotiations to finalise a comprehensive Free Trade Agreement.”
About the conversation, Modi tweeted: “Glad to speak to @RishiSunak today. Congratulated him on assuming charge as UK PM. We will work together to further strengthen our Comprehensive Strategic Partnership. We also agreed on the importance of early conclusion of a comprehensive and balanced FTA.”
The Downing Street spokesperson said: “The (Indian) Prime Minister said he (Rishi) was a visual representation of the historic links between the UK and India, and intended to build on this relationship to develop ever closer ties between our two countries….
“Discussing shared global challenges, the Prime Minister praised Prime Minister Modi’s leadership on tackling climate change and the leaders welcomed opportunities to bolster our security, defence and economic partnership.”
On Wednesday, Britain’s minister of state for trade policy, Greg Hands, had provided some details of the state of the negotiations with India on the FTA. “We have concluded, as we said we would, the majority of the chapters of the deal. Sixteen chapters across 26 policy areas have been agreed so far….”
The mobility issues relating to business visas, he said, remains an “area of active negotiation…”. He also indicated that whisky tariffs were still being discussed, underscoring that the duty on Scotch whisky going to India was currently 150 per cent.
British foreign secretary James Cleverly will arrive in India on Friday “for his first official trip to the country – to meet his counterpart and discuss strengthening the UK-India relationship”, his spokesperson said.
He will visit Mumbai and travel to New Delhi on Saturday. “On Saturday, he will speak at the special meeting of the UN Security Council Counter-Terrorism Committee…. In New Delhi, the foreign secretary is also due to meet India’s minister of external affairs Dr Jaishankar to discuss the latest on the 2030 Roadmap, the landmark commitment to boost cooperation between the UK and India over the next decade under a Comprehensive Strategic Partnership,” the spokesperson said.
