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India, US BTA not signed yet, 5 rounds of talks held: Govt to Parliament

India, US BTA not signed yet, 5 rounds of talks held: Govt to Parliament

Time of India5 days ago
The Monsoon Session of the Parliament begins on Monday marking the first sitting since Operation Sindoor, India's precision airstrikes on terror camps in Pakistan.
India and the US are currently engaged in negotiations for a Bilateral Trade Agreement (BTA), with five rounds of talks completed as of now. Simultaneously, India's Free Trade Agreement (FTA) with the UK, finalized in May, aims for deeper economic integration and tariff concessions, benefiting various sectors including textiles, IT, and agriculture.
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New Delhi: India and US are negotiating a Bilateral Trade Agreement (BTA) which has not been signed as yet and five rounds of negotiations have been held till now, the government informed Parliament on Tuesday.The BTA negotiations were launched in March 2025.'India and the US are negotiating a Bilateral Trade Agreement which has not been signed as yet,' minister of state, commerce and industry ministry, told Lok Sabha in a written reply.In a separate reply, he also said that the last round of talks was held from July 14-18 in Washington.The minister also said that India's free trade agreement (FTA) with the UK is a modern, comprehensive and landmark agreement which seeks to achieve deepeconomic integration along with trade liberalisation and tariff concessions.'The FTA ensures comprehensive market access for goods, across all sectors, covering all of India's export interests. The FTA seeks to promote good regulatory practices and enhance transparency that are in sync with India's own focus on domestic reforms to enhance the ease of doing business,' he said.Emphasising that the government takes care of all the sensitivities associated with the FTA and ensures that India's interests are protected, he said: 'Every FTA is unique and is based on specific dynamics of trade and is aimed at maximizing benefits for both nations.'More than 99% of Indian exports are expected to benefit from tariff liberalization under the FTA including improved export opportunities in labour-intensive sectors such as textiles, leather, gems and jewellery, engineering goods, auto parts, and chemicals.The FTA will also support services exports due to commitments across trade in services such as IT/ITeS, financial services, professional services, other businessservices and educational services.This agreement will benefit Indian farmers, fishermen, workers, MSMEs, startups and innovators,' he said.While the India-UK FTA negotiations concluded in May, the talks with the EU are ongoing. Twelve rounds of negotiations have been held till recently, the last being from July 7-11 at Brussels.
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What China And Global Media Are Saying About PM Modi's Visit To Maldives
What China And Global Media Are Saying About PM Modi's Visit To Maldives

India.com

time12 minutes ago

  • India.com

What China And Global Media Are Saying About PM Modi's Visit To Maldives

New Delhi: On July 26, 2025, Prime Minister Narendra Modi participated in the 60th Independence Day celebrations of Maldives as the chief guest. His presence at the event grabbed headlines not only in India and Maldives, but across the world. The visit stood out for several reasons. Maldives' President Mohamed Muizzu had built his 2023 election campaign around the slogan 'India Out'. After coming to power, he had sent strong signals distancing the country from India. He also moved swiftly to forge closer ties with China. His early months in office were marked by a decision to send back Indian military personnel stationed in the Maldives. This was viewed in New Delhi as a potential pivot toward Beijing. That same leader has now invited the Indian prime minister as guest of honour at the nation's biggest official event. The symbolism was unmistakable. It marked a moment that was closely tracked in foreign capitals, especially as China continues its attempts to deepen influence across the Indian Ocean region. Chinese State Media Responds Beijing's Global Times, a state-run publication, published a commentary criticising the tone of Indian media coverage surrounding the visit. According to the publication, some Indian platforms had portrayed the trip as a strategic setback for China and a diplomatic win for India. In its analysis, the Global Times accused Indian media of engaging in zero-sum thinking, suggesting that any gain for India must mean a loss for China. It cited comments from Qian Feng, director at the National Strategy Institute at Tsinghua University, who argued that the Maldives naturally prioritises relations with its neighbours but also pursues a diversified foreign policy, including engagement with China's Belt and Road Initiative. 'These approaches are not in conflict,' he said. Singapore and U.S. Media Weigh In Singapore-based Channel News Asia headlined its coverage: 'India's Modi reshapes ties with Maldives.' Their report highlighted how Modi's visit included new infrastructure partnerships, financial commitments and signs of renewed warmth between the two countries. PM Modi inaugurated a new defense ministry building and Indian-funded projects and announced economic support. According to Channel News Asia, the visit was viewed in New Delhi as reassurance that Maldives would not drift too far into China's orbit. The channel highlighted how Muizzu's early months had raised concerns after he ordered the withdrawal of Indian military personnel. The Washington Post echoed this view. In a detailed report, the paper called the two-day trip 'strategically vital' and said it pointed to India's broader goals of asserting presence across key sea routes in the Indian Ocean. It highlighted the announcement of a $565 million line of credit from India to fund development projects. The publication said the visit may mark the beginning of a shift toward restoring normalcy in bilateral ties. A Look From the UK British daily The Independent took a broader view, framing the visit in the context of recent diplomatic turbulence. The publication emphasised that tensions had risen after the Indian government promoted Lakshadweep as a tourism hub, which some in the Maldives perceived as an attempt to redirect Indian tourists away from their beaches. Celebrities in India had even called for a boycott of Maldives as a travel destination. The report added that President Muizzu chose to visit China before making a trip to India, something that had not gone unnoticed in New Delhi. Muizzu's post-China announcement about reducing dependency on India for essentials like medicines and food also drew concern. But things began to improve when Muizzu attended Modi's swearing-in ceremony earlier this year. That visit set the stage for a gradual warming of ties, culminating in the current trip. A New Phase for India-Maldives Relations Pakistan's Express Tribune said Modi's visit ended on a note of clarity and mutual affirmation. It quoted President Muizzu calling the trip 'a defining moment' in relations between the two nations. In social media posts shared at the conclusion of the visit, Muizzu acknowledged the importance of people-to-people ties and long-term cooperation across sectors. In a reciprocal message, PM Modi said India would stand by the people of Maldives in their aspirations. Germany's Deutsche Welle (DW) provided a strategic lens on the visit. It emphasised Maldives' critical location along shipping lanes in the Indian Ocean. Despite its image as a tourist haven, the report described Maldives as a 'geopolitical hotspot' nestled across 1,192 islands. DW pointed out how this geography has made it a focal point in the growing rivalry between India and China. Their report argued that the region is becoming less about leisure and more about maritime strategy and political influence. What Experts Are Saying According to a commentary by Aditya Shivamurti, associate fellow at Observer Research Foundation (ORF), Maldives' policy initially leaned strongly toward China. He explained how 'India Out' had dominated discourse in 2023, and India's presence was sharply reduced. But by 2024, Shivamurti observed a shift. The domestic economic situation in Maldives worsened. Parliamentary dynamics changed. Chinese promises failed to meet expectations. These developments pushed Muizzu to reassess foreign policy. The analysis added that India responded with pragmatism. It avoided escalation and focused instead on diplomatic engagement and support. In return, the Maldives leadership began acknowledging India's critical role in areas like health, development and infrastructure. ORF's report concluded that both countries are now trying to separate foreign policy from domestic politics. While the Maldivian Democratic Party has historically been seen as pro-India and the ruling PNC as leaning toward China, Muizzu seems to be moderating that binary. He has taken steps to respect India's sensitivities, and India, in turn, has extended support. As per Shivamurti's view, the visit was more than symbolic. It was a recalibration. It offered not just headlines, but signs that pragmatism, diplomacy and shared interests are still possible in a region crowded by rival influences.

India-US trade deal: Commerce Ministry advised against accepting ‘unilaterally framed obligation' on digital taxes
India-US trade deal: Commerce Ministry advised against accepting ‘unilaterally framed obligation' on digital taxes

Indian Express

time40 minutes ago

  • Indian Express

India-US trade deal: Commerce Ministry advised against accepting ‘unilaterally framed obligation' on digital taxes

Legal advisers to the Commerce and Industry Ministry have suggested that Indian negotiators dealing with their US counterparts should not accept Washington's proposal that prohibits India from reintroducing equalisation levy-style taxes, such as the 'Google tax', in the future, a person aware of the negotiations told The Indian Express. The advice was offered on the grounds that the provisions drafted by the US did not state that both parties should refrain from applying digital taxes on each other. Rather, they sought a legal commitment only from the Indian side and were seen as a 'unilaterally framed obligation', the source said. While the US offers a range of digital services in India and American tech companies have long lobbied against any taxes on such services, India also exports a wide range of digital services to the US — particularly in the IT sector — generating the majority share of its total services exports earnings from the US market. Another concern raised with the government was that agreeing to such unilateral provisions could set a risky precedent for future trade negotiations, where similar demands could be made by other trading partners during talks with New Delhi, thereby complicating future negotiations. In a move to assuage US concerns about India being a high-tariff nation, the Central government in March proposed abolishing the equalisation levy on online advertisements as part of the amendments to the Finance Bill, 2025. An equalisation levy is a measure to 'equalise' the tax treatment of resident and non-resident e-commerce companies. As part of the 35 amendments to the Finance Bill, 2025, the Centre proposed removing the 6 per cent equalisation levy (EL) it charges on digital ads, effective from 1 April 2025. A query emailed to the Commerce and Industry Ministry remained unanswered till press time. 'Digital taxation is typically discussed outside the framework of a trade agreement. It is a nation's sovereign right to decide on such matters, and India should reserve that right. Bringing it under the scope of a trade agreement weakens your position. We need to examine the digital trade chapters of the US and Australia, which India must study carefully. Australia has provided the US with a carve-out that allows for protections for US services. We also need to secure our IT/ITeS and technology exports from taxation in the US, our largest market' Arpita Mukherjee, professor at Indian Council for Research on International Economic Relations (ICRIER) said. Notably the US has forced Indonesia to several steep terms on digital trade. Indonesia has committed to address barriers impacting digital trade, services, and investment, a White House statement said. 'Indonesia will provide certainty regarding the ability to transfer personal data out of its territory to the United States. Indonesia has committed to eliminate existing HTS tariff lines on 'intangible products' and suspend related requirements on import declarations; to support a permanent moratorium on customs duties on electronic transmissions at the WTO immediately and without conditions; and to take effective actions to implement the Joint Initiative on Services Domestic Regulation, including submitting its revised Specific Commitments for certification by the World Trade Organization (WTO),' the White House statement read. The United States Trade Representative (USTR), in its report on non-tariff barriers, had earlier cited the 6 per cent equalisation levy as a discriminatory measure against US firms. The USTR report said that most digital services taxes are designed in ways that discriminate against US companies, often singling out American firms for taxation while excluding domestic companies engaged in similar lines of business. The US has also raised concerns about digital services taxes with a number of trade partners, particularly the EU. 'The disproportionate capture of US firms by the EU's Digital Services Act (DSA) and Digital Markets Act (DMA) is also noted as undermining US competitiveness due to increased compliance costs not borne by EU competitors,' the USTR said. Differences between India and the US assume significance as New Delhi continues to face the risk of 26 per cent reciprocal tariffs. After Indian negotiators completed another round of discussions in Washington last week, a US team led by the US Trade Representative for South and Central Asia, Brendan Lynch, is expected to visit India in mid-August to continue negotiations for a trade agreement. While India and the US have agreed on a wide range of tariff lines, the negotiations — which currently only involve market access for goods — remain stuck over sensitive sectors such as agriculture and automobiles, which are key job creators in India. Ravi Dutta Mishra is a Principal Correspondent with The Indian Express, covering policy issues related to trade, commerce, and banking. He has over five years of experience and has previously worked with Mint, CNBC-TV18, and other news outlets. ... Read More

Tata Consultancy Services to axe 12,000 jobs, IT firm's biggest layoff ever
Tata Consultancy Services to axe 12,000 jobs, IT firm's biggest layoff ever

Time of India

time42 minutes ago

  • Time of India

Tata Consultancy Services to axe 12,000 jobs, IT firm's biggest layoff ever

Bengaluru: In what might be one of the largest announced layoffs by an Indian IT firm, TCS is planning to cut 2% of its workforce—over 12,000 employees—this year, with the reductions primarily affecting mid-level and senior executives. The planned workforce reduction—long considered rare in the industry—underscores the tough demand environment, especially in the absence of large deals like BSNL. Industry observers see this as an early sign of a broader shift, where rising reliance on automation and margin pressures are driving companies to reduce employee costs. This move marks one of the company's most significant strategic shifts, investing in newer areas like AI, data, and cybersecurity, embracing AI, and letting go of employees who cannot be redeployed within the firm. TCS said the restructuring initiative aimed at transforming the company into a future-ready organisation. "This includes strategic initiatives on multiple fronts, and while these changes are necessary for our growth and evolution, we understand the impact on our colleagues. We thank them for their service and are committed to supporting them through this transition," TCS chief executive officer K Krithivasan said in an email to employees. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Your New Zealand escape starts with Singapore Airlines Fly with Singapore Airlines Book Now Undo "While this is a difficult decision, it reflects our continued responsibility as an organisation to anticipate future needs and act decisively." The move, the email said, is part of TCS's broader strategy to invest in new technologies, expand into new markets, and enhance its AI capabilities. TCS emphasised that the transition was carefully planned to ensure no disruption to service delivery for its clients. The company provided appropriate benefits, outplacement services, counselling, and support to help affected employees transition to new opportunities. You Can Also Check: Bengaluru AQI | Weather in Bengaluru | Bank Holidays in Bengaluru | Public Holidays in Bengaluru The decision followed a recent revision of the bench policy, which required employees to be billed to a project for 225 business days a year or face termination. Recently, TCS deferred the onboarding of 650 lateral hires amid project delays. Speaking to TOI after the quarterly earnings, Krithivasan said: "Associates are expected to reskill and be flexible about assignments. Eventually, projects depend on client needs, not individual preferences," he stated. TCS invested heavily in upskilling and expected faster internal deployments once those capabilities were in place. W hen asked about speculations about withholding salaries for employees on the bench for extended periods, Krithivasan clarified that the company expects proactive efforts from associates to seek new roles internally, "We don't want anyone benched too long—it doesn't help them or the company." Phil Fersht, CEO of HfS Research, said the impact of AI is eating into the people-heavy services model and forcing the large service providers such as TCS to rebalance their workforces to maintain their profit margins and stay price competitive in a cutthroat market where clients are demanding 20%-30% price reductions on deals. "The fact that TCS has taken this step is a major indicator of this trend, considering its culture of being a very stable place to work. " Peter Bendor-Samuel, founder chairman of the Everest Group, said the offshore labour arbitrage industry has hit maturity with growth likely to be flat to slightly up for the foreseeable future. "On top of that, AI is creating substantial efficiencies requiring fewer people. The combination of factors is forcing TCS and other firms to shrink their labour forces. This is likely the start of a broader trend for both TCS and the rest of the industry. " The reduction is not limited to TCS. During the recent earnings calls, HCLTech CEO Vijayakumar said, "We plan to optimise underutilised facilities, mainly outside India, including those from acquisitions. Second, there will be a talent reduction, particularly in certain geographies outside India. We will share more details once we finalise the timeline and plan." stry experts believe that hiring is largely concentrated in niche areas such as AI, cloud, and cybersecurity, with ramp-ups occurring primarily through large deal wins. "Most new jobs are tied to specific projects or organisational changes, rather than large-scale hiring drives. This cautious approach reflects companies' focus on filling critical roles that drive growth and adaptability. While the job market is gradually improving, businesses are being strategic about who and when they hire. It is less about volume and more about making thoughtful hires to address key needs. For job seekers, opportunities exist, but success depends on having the right skills and flexibility to navigate the evolving market," said Neeti Sharma, chief executive officer at Teamlease Digital. While demand for AI, data, and automation talent is surging, the available talent pool in India faces a significant skill gap. For large IT companies, upskilling and internal talent transformation have become more crucial than ever. "From these factors, it is clear that India's tech talent story is being rewritten," said Sunil C, India Country Head at Adecco. "It is not just about volume anymore. The race is about building future-ready teams, rebalancing talent supply chains, and staying competitive in a landscape defined by constant change," he added. Even as upskilling and reskilling remain constant priorities, Indian IT is no longer making headlines for aggressive hiring, as headcount growth has decoupled from revenue gains. Instead, companies are increasingly turning to campus recruiting to onboard students trained in newer skill areas.

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