Historic India-UK Free Trade Agreement Announced

The recently signed free trade agreement between India and the United Kingdom marks a significant milestone in bilateral relations, according to Sunil Bharti Mittal, Chairperson of Bharti Enterprises. The agreement, finalized during Prime Minister Narendra Modi’s visit to the UK, is expected to bring substantial benefits to both nations. Mittal emphasized the historic nature of this deal, highlighting its potential to enhance economic ties and mutual growth.

Benefits for Various Indian Sectors

In an exclusive interview with NDTV, Mittal elaborated on how the agreement will positively impact various sectors in India. He noted that the deal would benefit not only farmers but also artisans, micro, small, and medium enterprises (MSMEs), and professionals such as doctors and lawyers. This comprehensive approach aims to bolster India’s economic landscape by providing new opportunities for growth and collaboration.

Complementarity Between India and the UK

Mittal attributed the success of the agreement to the “high degree of complementarity” between the two countries. Unlike many trade negotiations where demands often clash, India and the UK have found common ground. India offers a vast market, a talented workforce, and cost-effective manufacturing capabilities. In return, the UK provides advanced technologies in sectors like nuclear energy, space exploration, defense, and biosciences.

Opportunities for Small and Medium Industries

The agreement opens doors for UK companies to access India’s small and medium industries, including leather goods, hand tools, machine tools, gems, and jewelry. Mittal highlighted that many products currently imported from China or other countries could now be sourced from India under this free trade agreement. This shift is expected to boost exports significantly.

Facilitating Professional Mobility

The agreement also addresses professional mobility between the two nations. Indian professionals previously faced challenges such as additional qualifications or exams to practice in the UK. The new agreement aims to create parity in qualifications, facilitating easier movement for professionals. Chandrajeet Banerjee of the Confederation of Indian Industry noted that this will help address skill shortages in the UK while allowing Indian professionals to contribute effectively.

Enhancing Talent Flow

Banerjee further explained that the agreement would lead to a freer flow of talent by removing visa-related bottlenecks. The UK’s limited pool of professionals in certain sectors will benefit from Indian expertise, supporting industries investing in the UK. This enhanced mobility is a key feature of the trade agreement, promising mutual growth and development.