London [UK], July 24 (ANI): Foreign Secretary Vikram Misri on Thursday confirmed that India is actively engaged in discussions with the United States on a potential Bilateral Trade Agreement (BTA), signaling progress in deepening economic ties between the two countries.
Speaking at a press conference following the signing of the India-UK Free Trade Agreement (FTA), Misri stated, “We are discussing that under a different vertical. All I can say is that our engagement is underway. The contacts are underway, and we’ll see how that goes.” His comments come as the United States, under the Trump administration, has deferred the imposition of additional tariffs on several countries, including India, until August 1.
Misri also highlighted the broader implications of the India-UK FTA, which was signed earlier in the day in the presence of Prime Minister Narendra Modi and UK Prime Minister Keir Starmer. “The focus was on that (India-UK FTA) fair and square. Naturally, the overall environment, globally of world trade, was referred to, but on that front, what I would emphasise is that this underlines even more the significance of the India-UK FTA,” he said. “For an agreement as significant as this to be achieved at this point in time is a really important message to take away from today’s events.”
On July 14, a senior government official had indicated that India was making concrete progress toward finalizing a BTA with the US, with both nations committed to a framework outlined by their respective leaders. “We are moving in terms of a BTA,” the official said, adding that both sides are looking at a mutually beneficial agreement that serves shared interests.
Regarding the structure and timeline of the potential agreement, the official noted that both nations are maintaining a flexible approach. “How it moves forward—whether there will be a first phase, a second phase, or whatever phases will happen—that will be mutually decided,” the official explained.
Rajesh Aggarwal, Chief Negotiator and Special Secretary at the Ministry of Commerce, participated in the BTA discussions held on July 16.
Earlier in the day, India and the United Kingdom signed the Comprehensive Economic and Trade Agreement (CETA). The agreement was signed by Commerce and Industry Minister Piyush Goyal and UK Secretary of State for Business and Trade Jonathan Reynolds, in the presence of both Prime Ministers.
This FTA represents a major milestone in India’s economic engagement with developed economies, underlining a shared commitment to deeper integration. The India-UK bilateral trade currently stands at nearly USD 56 billion, with a joint goal to double the figure by 2030.
CETA offers duty-free access for 99 percent of India’s exports to the UK, covering a broad trade basket. The agreement is expected to create opportunities in labor-intensive industries such as textiles, marine products, leather, footwear, sports goods, toys, and gems and jewellery. Fast-growing sectors including engineering goods, automotive components, and organic chemicals will also benefit.
The pact enhances market access in IT and IT-enabled services, as well as financial, legal, professional, educational, and digital trade sectors. Additionally, India has secured a Double Contribution Convention with the UK, which will exempt Indian professionals and their employers from social security payments for up to three years, improving cost competitiveness for Indian talent.
Designed with inclusivity in mind, the agreement supports women and youth entrepreneurs, farmers, fishermen, startups, and MSMEs, while encouraging innovation, sustainable practices, and reduced non-tariff barriers.
CETA is expected to significantly boost trade volumes, create jobs, and foster a more resilient economic relationship between India and the United Kingdom in the years to come. (ANI)
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