Piyush Goyal and Jonathan Reynolds begin final push for India-UK trade pact

THE INDIAN commerce minister and British trade secretary began two days of talks on Monday (28) in London to try and conclude more than three years of negotiations on a trade pact, with added pressure to reach a deal following Donald Trump's tariffs on exports to the United States.

Indian commerce minister Piyush Goyal described the first day of talks with trade secretary Jonathan Reynolds as "productive" in a post on X, without providing further details.

Both India and Britain are seeking bilateral deals with the United States to address tariffs introduced by Trump, which have disrupted the global trade system. The situation has increased focus in both London and New Delhi on finalising a UK-India trade agreement.

"The government's committed to doing the right deal with India, which will improve access for UK businesses, cut tariffs and make trade cheaper and easier," a spokesperson for prime minister Keir Starmer said.

Talks are seen as close to completion, with the latest round of negotiations extended in an effort to reach a final agreement.

Any deal would need to cover tariffs on goods such as whiskey, agriculture and cars, as well as regulations around pharmaceutical products and investments.

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A person familiar with the talks told Reuters before Monday's meeting that the issues related to whiskey and autos, which have been sensitive in India, had already been resolved.

Another area of negotiation has been exemptions for Indian workers from British social security contributions, which Goyal has said will be addressed in a separate treaty.

Britain and India launched trade negotiations in January 2022, with then-prime minister Boris Johnson aiming to finalise a deal by Diwali later that year as part of Britain's new post-Brexit trade policy.

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Progress has been uneven, and Starmer is now the fourth British prime minister under whom the negotiations have continued.

His Labour government has pledged to push forward with the talks, and Reynolds, who visited India in February to restart discussions, said securing a deal was a "top priority".

Both sides have stated that immigration will not be included in the trade negotiations, although provisions to make it easier for professionals to stay temporarily for work trips could be part of the agreement.

(With inputs from agencies)