Brexit will boost trade ties with India: UK Official

Smita Sharma

Tribune News Service

New Delhi, December 18

United Kingdom’s exit from the European Union (EU) in March 2019 will not cast a shadow on bilateral trade ties with India, claims a senior visiting UK official.

Hugh Elliott, Director International Agreements at the UK Foreign and Commonwealth Office, is meeting industry, trade leaders, government officials and think tanks in Delhi currently to allay concerns arising out of the pending Brexit process.

“There is no reduction in our ambition to be an outward facing, global trading nation maintaining our strong security and foreign policy ties. UK will remain an open economy and there will be continuity for businesses, citizens and international agreements. Hence we are negotiating for a transition period,” said Hugh Elliott in a select media interaction.

UK happens to be the largest G20 investor and job creator through FDI in India. While UK has been the gateway to Europe for Indian investments. However possibilities of an India-UK Free Trade Agreement any time soon is less likely as the competence on trade lies currently with the 27 member EU Council.

UK can hammer out new bilateral trade agreements only post Brexit and subject to terms allowing it to do so with the start of the implementation period .  ‘Complex time taking’ negotiations are on with UK pushing for an implementation period of atleast two years till 2021 to work out a smooth transition post Brexit.

Indian Commerce Minister Suresh Prabhu will, however, be in London to meet with UK’s trade minister in January 2018 for the annual consultations. The meeting is expected to discuss sectors that have most opportunities for the two countries once Brexit rolls out.

“We understand very well how business sees UK as a launch pad for Europe. We understand the future of international supply chains with some more complex than others. So things will depend on how we build that deep and special relationship with the EU,” said Elliott.

PM Modi at CHOGM

Prime Minister Narendra Modi is expected to attend the Commonwealth Heads of Government (CHOGM)  meeting scheduled from April 18 to 20 in London next year. In 2013, then prime minister Manmohan Singh under political pressure boycotted the CHOGM summit held in Colombo following allegations of war crimes against the then Mahinda Rajapaksa government. In 2015, Sushma Swaraj represented India at the CHOGM in Malta.

“We hope to receive Modi for the Commonwealth Summit next year. We will be happy to host him,” said Elliott stressing that India forms nearly sixty percent population of the 52-member Commonwealth grouping.