Britain’s Foreign Secretary, David Lammy, has arrived in India to engage in crucial trade discussions with ministers and business leaders. This visit is seen as a significant move to strengthen Britain’s relationship with India and the broader Global South.
David Lammy emphasizes India’s crucial role in the government’s agenda to boost the economy and address climate change. He has referred to India as an “indispensable partner,” highlighting its upcoming status as the third-largest economy in the world. The new Labour government is keen to finalize a free trade agreement with India.
Labour’s Strategic Focus on India: Just three weeks into office, Sir Keir Starmer’s administration is prioritizing India. For Labour’s growth plans to succeed, British companies must expand their business operations in India. Negotiations for a free trade agreement had been stalled for months, despite efforts over the past two years.
Comparative Trade Agreements: In March, India signed a free trade agreement with Norway, Switzerland, Iceland, and Liechtenstein, countries outside the European Union. This underscores the urgency for the UK to secure its own deal.
Commitment to Securing a Deal: David Lammy stated that reinforcing the UK’s commitment to a trade deal with India is just the beginning of Britain’s ambitions. Previous Conservative government sources mentioned that trade talks were in their “final but trickier” stages last year.
A Post-Brexit Trade Prize: A trade deal with India is considered one of the most significant agreements the UK can achieve post-Brexit. This aligns with the UK’s broader strategy to strengthen economic ties with key global partners.
Rebuilding International Relations: Earlier this month, Lammy’s inaugural foreign trip as a cabinet member included meetings with European leaders to improve UK-EU relations. However, the focus of his current visit is beyond just economics.
Global South and Emerging Superpowers: India views itself as a leading player in the Global South. Lammy aims to reset Britain’s relations with these developing nations. Amid political instability in Europe and the US, the UK is seeking to solidify its alliances, including with India, which Lammy describes as the emerging superpower of the 21st century.
