Latest news with #India-UnitedKingdomFreeTradeAgreement
The Hindu
21-05-2025
- Business
- The Hindu
Actual impact of India-U.K. trade deal will come through over the next year: British Deputy High Commissioner
Chandru Iyer, British Deputy High Commissioner to Karnataka and Kerala, on Wednesday said the impact of the India-United Kingdom Free Trade Agreement (FTA) would come through over the next year or so. Mr. Iyer, speaking at the launch of Imperial College London's new science hub — Imperial Global India — in Bengaluru said the FTA would help to draw growth in both countries and increase trade and investments from the current level of around £44 billion to reach up to almost £70 billion. 'It is also expected to have an effect on our GDP back home in the U.K. by up to £5 billion. I am sure it will have a similar impact on the Indian ideas,' he said. On the timeframe when the FTA would come into effect, he said trade deals have a process to follow. 'So at this point of time, as we speak, what we call the legal scrubbing of the documents is happening, and it will happen for the next few weeks. Then, in the next few weeks or months, the two Prime Ministers will get together and sign the dotted line and that is when this trade deal becomes a reality. From there on, the document needs to be ratified by both parliaments, which will take another few months, and we hope to see the actual impact of this trade deal come through over the next year or so,' Mr. Iyer said. He added that once the FTA comes into effect, a glass of scotch whisky in India is going to get cheaper, and Jaguar Land Rover will also get cheaper here. 'This is great news for all budding entrepreneurs in the city,' he added. Infosys co-founder N.R. Narayana Murthy, speaking on the occasion, said science and innovation must be the cornerstone of the India-U.K. relationship. 'As we look towards 2040, it becomes clearer that science and innovation must be the cornerstone of our bilateral relationship and a beacon for building global resilience,' he said. He added that today we face unprecedented grand challenges like potable water, clean air, education, renewable energy, healthcare, including vaccines for dengue and chikungunya, robust infrastructure, climate change, food insecurity, and the digital divide. 'These are not the problems of any one nation, these are problems of our planet, our world, and to solve it we must move beyond transactional partnership to transformative ones,' he added. Imperial College London launches new science hub in Bengaluru The Imperial College London has launched its new science hub in Bengaluru. The college said that research programmes with Indian partners would focus on helping to address some of the world's most pressing challenges in areas such as climate change and sustainability, food and water security, and antimicrobial resistance. The college said the hub, which is being established as a liaison office, would support joint research projects, long-term collaborations, student scholarships, collaborative PhD programmes, and fellowships. Some of the initiatives include the India Connect Fund, which will support up to 25 joint research projects every year between Imperial and partners in India in areas such as artificial intelligence, quantum science, biotech, and clean energy. The Future Leaders Scholarship programme for Indian scientists will support 75 STEM students over the next five years. Establishment of six high-impact Eric and Wendy Schmidt AI in Science Global Faculty Fellowships with the National Centre for Biological Sciences and Indian Institute of Science to develop a London-Bengaluru AI in Science Network are among the other initiatives.
Time of India
11-05-2025
- Automotive
- Time of India
India-UK FTA: Vehicle quota set by engine capacity and price
A senior government official has said that the India-United Kingdom Free Trade Agreement (FTA) will feature quota bands for automobiles based on engine capacity for internal combustion engine (ICE) vehicles and price for electric vehicles, The Hindu reported. The agreement also includes sharing electronic certificates of origin to ease Indian exports and a Double Contribution Convention (DCC) to save temporary workers in the UK and their employers approximately ₹4,000 crore annually. Import duties on automobiles will be lowered over 10-15 years, excluding "futuristic cars" and "low-cost" cars. This measure is expected to significantly streamline business operations for Indian exporters. How would it be categorised? For ICE vehicles, the quota bands will be based on engine capacity, while for electric vehicles, the bands will be based on price. Certain types of cars will not be included in the agreement. The FTA is expected to provide India with a competitive advantage in specific agricultural sectors. This will also be excluding sensitive agricultural and industrial products, but giving India a competitive edge in grapes, mangoes, and marine products. Certain sensitive agricultural products will be excluded from the agreement. Sensitive industrial products have also been excluded from the deal. The official added that sensitive industrial products such as precious metals, smartphones, and optical fibres too were excluded from the deal. The agreement addresses medical devices, with a provision for duty reduction. On medical devices, the duty would only be reduced and not eliminated, and that too only from the sixth year of the deal. The current system only provides benefits after 10 years of contributions.
The Hindu
09-05-2025
- Automotive
- The Hindu
India-UK FTA: Quota for cars to be based on engine capacity, price
The lower import tariffs of 10% on the auto sector agreed under the India-United Kingdom Free Trade Agreement will incorporate different bands for automobiles for the purposes of the quota, according to a senior government official. 'The quota will have different bands for ICE (internal combustion engine) and electric vehicles,' the official explained. 'For ICE vehicles, the bands for the quota will be based on engine capacity. For electric vehicles, it will be on price.' The official added that the import duties on automobiles would be lowered over a period of 10-15 years, and that the 'futuristic cars' and 'low-cost' cars would not be included in the agreement. Another aspect of the agreement is that the two countries have agreed to share electronic certificates of origin, which would greatly ease business for Indian exports. 'India will gain a competitive advantage over other producing countries in grapes, mangoes, and marine products, and will substantially put India at par with the market leaders in these markets,' the official further said. Further, another government official confirmed that 'sensitive agricultural products' such as dairy, apples, oats, and edible oils were not a part of the agreement. He added that sensitive industrial products such as precious metals, smartphones, and optical fibres too were excluded from the deal. On medical devices, the duty would only be reduced and not eliminated, and that too only from the sixth year of the deal. The second official also estimated that the Double Contribution Convention — another agreement finalised along with the FTA and to come into force simultaneously — would save temporary workers in the UK and their employers about Rs 4,000 crore every year. 'Indian workers and companies in the UK together contribute 20% of workers' annual salary for social security,' the official explained. 'However, the benefits from this begin only after the tenth year of contribution. So a worker who is there for only 3-4 years and their employer forgo their entire contribution. They lose about ₹4,000 crore annually.'
