We’ll have speed, not haste: Goyal as India & UK resume FTA talks
In a significant development, India and the United Kingdom have decided to restart negotiations for a free-trade agreement (FTA). The announcement was made by Union Minister of Commerce Piyush Goyal after a meeting with UK Business and Trade Secretary Jonathan Reynolds. The resumption of talks is expected to boost bilateral trade and investment between the two nations.
When asked if an FTA can be expected by this year, Goyal emphasized the importance of concluding a good agreement rather than rushing through the process. “It’s never too late to conclude a good agreement…We’ll have speed but not haste,” he said. This approach suggests that the Indian government is prioritizing the quality of the agreement over meeting a specific deadline.
The FTA talks were initially suspended in 2019 due to differences over issues such as tariffs, agriculture, and climate change. However, the decision to resume negotiations indicates a renewed commitment from both sides to strengthen economic ties.
The FTA is expected to benefit both countries by reducing trade barriers, increasing market access, and promoting economic cooperation. India is the UK’s 12th largest trading partner, and the country’s exports to the UK have been increasing steadily over the years. In 2020, India’s exports to the UK reached $8.2 billion, with major items including textiles, machinery, and pharmaceuticals.
The UK, on the other hand, is one of India’s largest sources of foreign investment, with companies like Tata, Bharti, and Aditya Birla having significant presence in the country. An FTA would provide a boost to these companies and encourage further investment in key sectors such as technology, healthcare, and infrastructure.
The resumption of FTA talks is also seen as a strategic move by both countries to diversify their trade relationships. The UK’s departure from the European Union (Brexit) has created new opportunities for India to strengthen its economic ties with the country. Similarly, India’s growing economic influence in the Asia-Pacific region makes it an attractive partner for the UK.
Goyal’s emphasis on speed but not haste is also significant in the context of the ongoing pandemic. The global economy is still reeling from the impact of COVID-19, and both countries are looking for ways to stimulate growth and create jobs. An FTA would provide a much-needed boost to trade and investment, helping to drive economic recovery.
In addition to the economic benefits, an FTA would also strengthen the strategic partnership between India and the UK. The two countries share a strong relationship based on shared values, cultural ties, and historical connections. An FTA would further deepen this partnership, enabling both countries to work together more effectively on global issues such as climate change, security, and development.
The resumption of FTA talks is a positive development for both India and the UK. The agreement is expected to create new opportunities for trade and investment, drive economic growth, and strengthen the strategic partnership between the two countries. As Goyal emphasized, the focus should be on concluding a good agreement rather than rushing through the process. With speed but not haste, India and the UK can create a brighter future for their citizens and economy.
