Britain eyes Gulf and India for new free trade deals
The new Labour government has announced its intention to push forward with fresh trade talks, focusing on the Gulf and India.
Alongside India and the Gulf Cooperation Council, an intergovernmental union comprising six Gulf states, the government is also prioritising talks with Israel, South Korea, Switzerland and Turkey.
There was no mention of the US in the list.
Business and Trade Secretary Jonathan Reynolds said his teams would be entering negotiating rooms “as soon as possible.”
“From the Gulf to India, our trade programme is ambitious and plays to the UK’s strengths to give British businesses access to some of the most exciting economies in the world.”
A deal with the India and the Gulf proved difficult for the former Conservative government to secure. Former Prime Minister Boris Johnson had pledged to secure an agreement with India “by Diwali” of 2022.
Chairman of Tata Sons Natarajan Chandrasekaran said: “I am delighted that the new government has moved so quickly to restart trade negotiations with India. As one of the largest international investors in the UK, the Tata Group supports any action that strengthens the British economy.
“And as two of the world’s greatest trading nations with deep historical ties, India and the UK should be close economic partners, to the benefit of the citizens and businesses of both countries.”
The government added that its new upcoming trade strategy, which looks to align its industrial with economic and net zero ambitions, as well as “resetting” the UK’s relationship with the European Union, will help provide more jobs and support communities across the UK.
William Bain, Head of Trade Policy at the British Chambers of Commerce, said: “Businesses are eager to open the doors to closer trade links with our key partners and will welcome the government’s renewed commitment to seek free trade agreements.
“Reaching new or upgraded deals could offer new opportunities for businesses, of all sizes, to grow and invest for the future, especially in sectors like spirits, business services, climate friendly technology and pharmaceuticals.”