The UK and India have restarted free trade talks in Delhi after a nearly year-long hiatus prompted by general elections in both nations. In a two-day meeting, UK Business Secretary Jonathan Reynolds and his Indian counterpart Piyush Goyal focused on advancing negotiations toward a balanced and mutually beneficial deal. With the UK prioritizing growth and new market opportunities, discussions centered on reducing high tariffs on products like Scotch whisky and streamlining visa regulations for Indian students and professionals traveling to the UK.
Currently, the trade relationship between the two countries is valued at approximately £41bn, but both sides see significant potential for expansion. The UK is eyeing sectors such as advanced manufacturing, clean energy, and professional services, while India is keen to enhance business mobility and ease visa processing for temporary workers. Despite these ambitions, sticking points remain, and no final deadline has been set for concluding the negotiations.
The talks also gain additional significance amid external pressures, notably from recent US tariff measures, which have prompted India to reassert its position in global trade discussions. With India forecast to become the world’s third-largest economy within a few years and its export ambitions reaching $1 trillion by FY30, the successful conclusion of a trade deal with the UK could open substantial opportunities for both nations.
During the visit, Reynolds and Goyal also planned to visit the BT office in Gurugram, and UK Investment Minister Poppy Gustafsson will be participating in events in Mumbai and Bengaluru to further strengthen trade and investment ties.
