'Will wait and watch’: Piyush Goyal on India-UK FTA after Liz Truss’ resignation

Discussions between India and the United Kingdom on the proposed free trade agreement (FTA) are well on track but we will have to “wait and watch” who forms the government in the UK, Commerce and Industry Minister Piyush Goyal said. He added that it is only after a change of guard is affected in the UK, that India can decide its policy.

Goyal said, “We will have to wait and see… what happens, whether they have a quick change of the leadership, whether it goes to the whole process… So let us see who comes into the government and what their views are. It’s only after that we will be able to formulate a strategy vis-a-vis the UK. ”

He further mentioned that politicians and business across the board in the UK have recognised that the FTA with India is vital, while adding the agreement should be fair, equitable and balanced. The Union Minister was speaking at Confederation of Indian Industry’s national exports summit in Delhi.

UK Prime Minister Liz Truss stepped down around six weeks after she took office. While announcing her resignation, Truss said, “I recognise [that] given the situation I cannot deliver the mandate on which I was elected…. I've spoken to HM King to notify him I’m resigning as leader of the Conservative Party.”

She will remain in charge until the Conservative Party elects her successor or a general election happens. Truss’ government was under massive criticism due to former foreign secretary Suella Braverman’s comments about increasing migration to the UK, which impacted the India-UK FTA negotiations adversely.

Braverman told ‘The Spectator’ weekly magazine, “Look at migration in this country – the largest group of people who overstay are Indian migrants.” She further said, “We even reached an agreement with the Indian government last year to encourage and facilitate better cooperation in this regard. It has not necessarily worked well.”

Apart from this, Truss was also condemned for economic plans including tax cuts. Meanwhile, British pound sterling edged lower in early trade and dropped 0.1 per cent to $1.125 after Truss announced her resignation.

(With agency inputs)

Also read: UK needs FTA much more and India should play like a winner, says Lord Meghnad Desai

Also read: How Suella Braverman has put India-UK free trade deal on the verge of collapse