British PM Keir Starmer calls India-UK FTA a ‘launchpad for growth’

British Prime Minister Keir Starmer on Wednesday (October 8) lauded the India-UK free trade agreement, saying that opportunities waiting to be seized under the trade deal are "unparalleled". Starmer landed in Mumbai earlier in the day on his first visit to India after assuming the top post of the United Kingdom.

Elaborating further, Stramer said that the India-UK free trade agreement is a “launchpad” for boosting bilateral trade and economic growth in India, which is set to become the third biggest economy in the world by 2028.

"We signed a major trade deal with India in July -- the best secured by any country -- but the story doesn't stop there," the British prime minister said.

Also Read: Scotch whisky in focus as UK PM Starmer lands in Mumbai, to meet Modi on Oct 9

'India-UK FTA not just a piece of paper'

"It's not just a piece of paper, it's a launchpad for growth. With India set to be the third biggest economy in the world by 2028, and trade with them about to become quicker and cheaper, the opportunities waiting to be seized are unparalleled," he added. Starmer said growth in India means more choice, stability and jobs at home for the British people.

Stramer’s remarks come ahead of his meeting with Prime Minister Narendra Modi on Thursday. Exploring ways to further deepen bilateral toes is one of the primary agendas of the meeting.

Also Read: How India is dismantling its protectionism with UK FTA | Big picture, finer points

PM Modi welcomes Stramer

Welcoming his British UK counterpart to India, Prime Minister Narendra Modi said that he is looking forward to advancing their “shared vision” of a stronger, mutually prosperous future.

“Welcome Prime Minister Keir Starmer, on your historic first visit to India with the largest ever trade delegation from the UK. Looking forward to our meeting tomorrow for advancing our shared vision of a stronger, mutually prosperous future. @Keir_Starmer,” stated Modi in a post on X.

"A warm welcome to PM Keir Starmer of the United Kingdom! Received by Governor of Maharashtra and Gujarat Acharya Devvrat at the airport. This is PM Starmer's first visit to India. This visit marks a new chapter in our strong & dynamic India-UK partnership," the MEA said.

Also Read: India-UK FTA: How both countries benefit

British govt’s take on FTA

A release by the British government on Starmer's India trip states that it seeks to capitalise on the momentum from the UK-India free trade agreement, as it will provide wider access to British businesses to the Indian economy, one of the fastest-growing in the world.

It further stated that the India-UK free trade agreement will lower tariffs on British goods being imported into India, adding that the "door is now open" for British businesses to "turbocharge" their trade with one of the fastest-growing economies in the world.

Also Read: 'To fully capitalise on FTA with UK, India must outperform Chinese exports'

Tariffs on British whisky to be slashed

India's average tariff on British products will drop from 15 per cent to three per cent, which means British companies selling products to India, from soft drinks and cosmetics to cars and medical devices, will find it easier to sell to the Indian market, according to the readout.

Whisky producers will particularly benefit from tariffs being reduced immediately from 150 per cent to 75 per cent, and then dropped even further to 40 per cent over the next 10 years, which will give the UK an advantage over international competitors.

Also Read: India-UK FTA: Generalities masquerade as historic treaty

British PM’s star-studded delegation

Pointing out that the British PM’s delegation comprise 125 business leaders including top executives of major companies such as Rolls Royce, British Telecom, Diageo, London Stock Exchange and British Airways, Peter Kyle, the UK's Business and Trade Secretary said that in less than a year the two countries have moved from restarting talks on a deal, to bringing 125 brilliant business leaders to India’s commercial capital Mumbai.

"Our deal is the best any country has ever secured with India and places British businesses at the front of the queue to access a huge and ever-growing market. Now we are hitting the ground running and using every means necessary to ready businesses to take full advantage of the massive wins we've secured once the deal comes into force, so we can deliver growth, jobs, and prosperity at home," he added. (With agency inputs)