India-UK hope for free trade deal by Diwali: Labour government agrees on many issues, will give temporary visas to 20 thousand Indians for the first time

There is almost a consensus on the issues required for a Free Trade Agreement (FTA) between India and Britain. India is going to benefit greatly from the FTA. For the first time, about 20 thousand Indians will get temporary visas every year. This visa will be given to Indian skilled professionals. With this, Indian professionals will be able to work in Britain for 2 months to one year. India had been demanding relaxation in visa laws for FTA from Britain for a long time. India could not reach a consensus with the Sunak government because they were unable to agree on this. Actually, due to the anti-migrant policies of the Conservative Party, there was opposition to giving visa relaxation to Indian professionals. Now Keir Starmer’s Labor government has accepted India’s demand regarding visa. David Lammy, Foreign Minister of the new British government, recently held the 14th round of talks with the Indian side. According to Kevin McColl, MD of Britain-India Business Council, the FTA will be approved this year. There is a possibility that the FTA will be implemented by Diwali. India got its conditions accepted from Britain on skilled professionals. Indians were ahead in the number of skilled professionals going to Britain. Britain had issued visas to 50 thousand Indian professionals last year. Indians demand that temporary visas should also be issued along with the skilled professionals category given for five years. This will benefit Britain’s economy. Due to not issuing temporary visas, Indian professionals have started moving to America, Australia and New Zealand. To stop this, Britain agreed to accept India’s condition. Indians on temporary visas are also exempted from NHS fees. Visa holders in Britain have to pay National Health Service (NHS) surcharge along with the application for free health service. FTA with India is necessary for Britain after Brexit. FTA with big economies is necessary since Britain left the European Union (EU) in 2016. Britain has so far done FTA with Australia and New Zealand. Talks are going on with Canada. India is a big market, so Britain wants to do an FTA deal with India. Being in the European Union, Germany, France and Italy are rapidly progressing in the European markets. Whereas Britain is lagging behind. Keir Starmer of the Labour Party in Britain had promised the British voters during the elections that if he comes to power, he will take the FTA with India to new heights. Britain wants entry in the service sector, but India is not ready. Britain wants entry in India’s service sector through FTA. But the Indian side has not yet approved it. Britain wants to bring its legal and financial firms to India. Britain also wants a reduction in tax on cars and alcohol. The British government says that its companies have to suffer losses in business by paying tax on British cars and alcohol. At the same time, India wants to get its dairy products entered in the British markets. Talks are going on between the two for this. Target of trade worth Rs 8 lakh crore between the two countries
India and Britain’s Keir Starmer government have set a target of trade worth Rs 8 lakh crore under Roadmap 2030. Trade worth Rs 4 lakh crore is estimated between the two countries in 2023-24. According to a report, trade between India and Britain in 2021-22 was Rs 1 lakh 452 thousand crore while in 2022-23 it was Rs 1 lakh 45 thousand crore. Rishi Sunak will be removed from the post of Leader of Opposition: Indian-origin Priti Patel is ahead in the race, she was Sunak’s staunch opponent in the party. The election process for the post of president has started in Britain’s Conservative Party. 6 candidates have filed nominations to take over the command of the party in place of Rishi Sunak. There will be a competition between them for 3 months for this. The Conservative Party suffered a crushing defeat in the elections held on July 4. Due to this, they lost power for 14 years. After the elections, Sunak did not resign from the post of party chief. He is the leader of the opposition in Parliament. Read the full news here…
Credit: Dainik Bhaskar