New Delhi: India and the UK are likely to formally sign a Free Trade Agreement (FTA) next week with the final legal review of the pact currently underway.
Both nations had reached the agreement in May. India expects 99% of its exports to the UK to have duty-free access. It also expects the FTA to open up significant export opportunities for labour-intensive sectors such as textiles, marine products, leather, footwear, sports goods and toys, and gems and jewellery, as well as engineering goods, auto parts and engines, and organic chemicals.
"Legal scrubbing is going on. It should be signed soon," said an official.
New Delhi expects its exports to rise to $60 billion in the next five years and to around $80-$90 billion in a decade, with a threefold surge in jobs in goods and services. For the UK, the FTA will cut Indian tariffs on 90% of its product lines, with 85% of those becoming fully tariff-free within a decade.
India will halve the duty on British whisky and gin to 75% and further to 40% in the tenth year of the deal. Automotive tariffs will be lowered to 10% from over 100% under a quota.
Both nations had reached the agreement in May. India expects 99% of its exports to the UK to have duty-free access. It also expects the FTA to open up significant export opportunities for labour-intensive sectors such as textiles, marine products, leather, footwear, sports goods and toys, and gems and jewellery, as well as engineering goods, auto parts and engines, and organic chemicals.
"Legal scrubbing is going on. It should be signed soon," said an official.
New Delhi expects its exports to rise to $60 billion in the next five years and to around $80-$90 billion in a decade, with a threefold surge in jobs in goods and services. For the UK, the FTA will cut Indian tariffs on 90% of its product lines, with 85% of those becoming fully tariff-free within a decade.
India will halve the duty on British whisky and gin to 75% and further to 40% in the tenth year of the deal. Automotive tariffs will be lowered to 10% from over 100% under a quota.