The resumption of negotiations for India’s free trade deals with the UK and the European Union later this month are seen as indications that India as well as its two trading partners are willing to move ahead. Almost a year after negotiations had come to a halt, British minister of state for trade policy Douglas Alexander is scheduled to be in the Capital next week. Towards the month-end, a team from EU will arrive, following signs of a broad agreement on the direction of talks. The conclusion of the two deals can help India increase trade with these two crucial trade partners, although the talks with the EU are unlikely to be finalised in a jiffy, given the large membership of the trading bloc and the difficult ask in several areas. The eagerness to move is visible on the Indian side too, which has dropped its resistance in some of the crucial areas. For instance, in the Budget, finance minister Nirmala Sitharaman agreed to revisit the model bilateral investment treaty, a major demand from UK and EU. Similarly, by cutting the levy on bourbon whiskey and some varieties of wine as well and bikes over the last fortnight, govt has signalled its willingness to other trade partners that it can lower duties in case it gets something in return. The latest duty cut on bourbon has also resulted in demands from the local industry to ensure that doors also open for Indian goods in overseas markets.
