On Monday, Indian Trade Minister Piyush Goyal said that the UK and India have decided to resume negotiations on a long-standing trade pact. The two nations intend to expedite negotiations and finalise important trade measures.
Goyal made the announcement during a joint press briefing with UK Business and Trade Secretary Jonathan Reynolds. Reynolds is in India to restart conversations that were stopped last year owing to general elections in both nations.
With global trade facing increasing uncertainty, including potential retaliatory tariffs from the US, the resumption of discussions is viewed as critical. Both governments intend to sign a bilateral free trade agreement and an investment treaty.
This was the first trade talk between India and the UK since the Labour Party took administration in July 2024. Reynolds emphasised that reaching an agreement is a “top priority” for his administration.
Meanwhile, UK Investment Minister Poppy Gustafsson plans to visit Mumbai and Bengaluru. She will meet with Indian investors and encourage them to consider prospects in the UK.
Trade between India and the UK has been steadily increasing. According to UK official estimates, bilateral trade in commodities and services totalled $52 billion in the 12 months preceding September 2024.
