India-UK FTA Likely To Come Into Force In May; More Trade Deals In Pipeline: Commerce Secy

New Delhi, Apr 16 (KNN) India’s free trade agreement (FTA) with the UK is expected to come into force in May, according to Commerce Secretary Rajesh Agrawal.

India and the UK had signed the Comprehensive Economic and Trade Agreement (CETA) in July last year, under which 99 per cent of Indian exports will gain zero-duty access to the British market. In return, India will reduce tariffs on select British goods, including automobiles and whisky.

Talking to the reporters, he said, "We expect the free trade agreement related to UK to come into operation in May sometime. We are yet to finalise the date because there are certain discussions on their (UK) side also."

Agrawal also noted that India’s trade agreement with Oman is likely to come into force by June 1.

Signed in December, the pact will allow duty-free access for 98 per cent of Indian exports, including textiles, agricultural products and leather goods. India, in turn, will lower tariffs on Omani products such as dates, marble and petrochemicals.

"We also expect our FTA with New Zealand to be signed on April 27," he added. The deal aims to double bilateral trade to USD 5 billion over five years and is expected to provide tariff-free access for Indian goods.

It could also attract up to USD 20 billion in investment into India over the next 15 years.

Agrawal said efforts are underway to conclude the proposed trade pact with the European Union within the current calendar year and operationalise it before the end of the financial year.

The secretary emphasised, "We will try to get it into operation before the end of this financial year. That is the ambition with which we are working." 

Meanwhile, negotiations for a trade agreement with Canada are ongoing, with the next round of discussions scheduled to take place in May, he highlighted.

(KNN Bureau)