As India gets poll ready, FTA talks with UK in last leg

India and the UK are in the final stages of negotiating a free trade agreement with time running out as New Delhi gets ready to hold general elections in the next two months.

A team of British trade negotiators is visiting New Delhi to iron out differences on India's demand for more visas for its workers and a social security agreement, and UK's asks for access in India's government procurement and inking a bilateral investment treaty before a trade pact.

Officials said most talks have been completed at the negotiator level and a final decision on signing the FTA now rests with the two governments.


"It is a political call now. The UK has been raising more demands- sometimes tariffs, sometimes government procurement," said an official.

Earlier, the two sides were discussingthat an announcement was likely in the first week of March followed by signing of the pact by the top leaders around March 12.

New Delhi's demand for an agreement to avoid double contribution to social security funds by Indian professionals working for a limited period in Britain saw some level of acceptance by the British negotiators, people aware of the development said, but this requires the nod of UK prime minister Rishi Sunak.

The move will be beneficial for Indian IT workers in the UK. The UK also wanted access to India's government procurement, especially centrally funded projects in states, something that New Delhi is not comfortable with.

"The UK wants more than what India gave the UAE. India should be cautious because whatever concessions it gives the UK would most likely get replicated in the EU and EFTA agreements," said a trade expert.