Thank you for contacting me about trade negotiations with India.
A UK-India FTA would be a substantial opportunity for both of our economies and a significant moment in our bilateral relationship, which ministers across government are working hard to strengthen in the decade ahead. Trade negotiations are underway, with the fourth round of talks having concluded on 24 June.
India is one of the world’s biggest and fastest-growing economies and a bold FTA would put UK businesses at the front of the queue to supply India’s growing middle class, forecast to increase to a quarter of a billion consumers by 2050. It is estimated that by this time, India will be the third largest economy in the world, with a bigger population than the US and EU combined.
The size and growth of the Indian economy means a deal would unlock opportunities in every nation and region of the UK and across all parts of our economy. Tens of thousands of UK jobs are already supported by trade with India, and an FTA has the potential to almost double UK exports to India, boost our total trade by as much as £28 billion a year by 2035, and boost wages across the UK by as much as £3 billion.
The Government ran a consultation on its intent to negotiate an FTA with India in 2021 to help determine its negotiating priorities and to allow business, NGOs and the public to have their say. On 13 January, the Government published its negotiating strategy, informed by the 283 responses received to the consultation.
The Government's negotiating strategy makes clear that it will not compromise the UK's high environmental, labour, food safety and animal welfare standards in any trade deal with India. The Trade Secretary has been clear that maintaining public confidence in the food we eat is of the highest priority for her, in line with the manifesto commitment that no new trade deal will compromise the UK's high animal welfare and food safety standards. To this end, the UK will maintain its own autonomous sanitary and phytosanitary (SPS) regime to protect human, animal and plant life and health, reflecting our existing high standards.
Thank you for taking the time to contact me.