“The UK businesses, as well as the Indian businesses, want the equal focus to be given to non-tariff barriers, particularly the technical barriers to trade and investment,” Richard Heald, Executive Chair, UK India Business Council (UKIBC), advised ANI in an interview.
He mentioned there are a variety of non-tariff barriers that each international locations need to address so as to have a complete trade deal. “It’s not only about tariff barriers but also non-tariff barriers,” he mentioned.
He mentioned the non-tariff barriers that the 2 international locations need to address embody the problems round guidelines of origin, harmonisation of governance and requirements, affirmation of guidelines round mental property rights, and investor safety.
Heald, who served as chief govt officer of UKIBC from 2010 to 2020, mentioned addressing the non-tariff barriers would “give the free trade agreement absolute credibility as far as the businesses are concerned, both in the UK and India.”
India and the UK introduced their intention to have a complete free trade settlement throughout a digital summit held in May 2021 between Prime Minister Narendra Modi and his British counterpart Boris Johnson. Formal negotiations on the proposed FTA between the 2 international locations began early this yr.
The third spherical of speak was held on May 6 in a hybrid mode with a number of the groups assembly in New Delhi and the bulk becoming a member of just about.
During the third spherical of negotiations, “draft treaty text was advanced across the majority of chapters. Technical experts from both sides came together for discussions in 60 separate sessions covering 23 policy areas,” as per a joint assertion launched after the assembly.
India’s Commerce and Industry Minister Piyush Goyal visited London within the final week of May to take the negotiations ahead. After the conferences with UK negotiators, Goyal had expressed hope that the FTA could be signed by Diwali.
The fourth spherical of negotiations is due to be hosted by the UK this month.
During a summit assembly held in April 2022, prime ministers of India and the United Kingdom set the timeline of Diwali 2022 (October 24) for formalisation of the FTA.
On the expectation of assembly the Diwali deadline, Heald mentioned the management of the 2 international locations has proven a powerful political will to meet the deadline.
“A substantial progress has been made. Indian negotiating team and UK negotiating team have been meeting every five weeks or so for the discussion,” he mentioned expressing hope that the FTA deal between the 2 international locations could be signed by the tip of this yr.
He mentioned the FTA could be designed to ease and facilitate not solely the present actions but additionally take a look at the areas and points that would seem sooner or later.
Heald mentioned the UK India Business Council has been pitching for the removing of tariffs in addition to non-tariff barriers between the 2 international locations. The UK India Business Council is the only accredited UK Government Overseas Business Network Initiative supplier for India.
Asked concerning the affect of the Russia-Ukraine battle on the FTA negotiations, Heald mentioned, “I don’t think that will affect the actual content of the FTA. However, it might affect the time.”
On the proposed FTA negotiations between India and the European Union (EU), Heald mentioned it could be extra sophisticated as India could be required to deal with 28 international locations, that are members of the EU.
“Here you are dealing bilaterally between UK and India. When you are dealing with the EU, you have to deal with 28 countries. I am not saying that the priority is being given to the EU or the UK, all I am saying is that, in practice, a bilateral agreement is easier than dealing with a multiplicity of opinions of nation,” he mentioned.
India is scheduled to restart FTA negotiations with the EU on June 17 in Brussels. Commerce and Industry Minister Piyush Goyal is scheduled to lead the Indian facet on the negotiations.
India and the EU held 16 rounds of talks between 2007 and 2013. The talks have been stalled for the final 9 years on several points associated to tariff and non-tariff barriers. (ANI)