Chinmaya IAS Academy – Current Affairs Chinmaya IAS Academy – Current Affairs
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Subjects:
- GS-2: International Relations: India-UK, India-EU Partnerships
- GS-3: Economy & Trade: Trade Deals, Bilateral Economic Ties
Key Points
India-UK & India-EU Trade Efforts
- External Affairs Minister S. Jaishankar’s trip to the UK and Ireland aimed to bolster trade links amid security tensions.
- Talks with UK Foreign Secretary David Lammy focused on the India-UK Free Trade Agreement (FTA), delayed since Brexit (2020), targeting completion by 2025.
- India and the EU are nearing a Bilateral Trade Agreement (BTA), in progress since 2007.
Bilateral Trade Potential
- India-UK trade stands at $52 billion, and India-Ireland at $17 billion—both with room to grow.
- Emphasis was on tech partnerships and lowering trade barriers.
- India’s flexible tariff approach on wines, spirits, and electric vehicles mirrors U.S. expectations, paving the way for broader agreements.
Geopolitical Dynamics & European Focus
- India’s trade ties with Europe are expanding as the region seeks reliable partners amid global shifts.
- The Ukraine conflict and NATO talks in London underscore Europe’s need for steady allies, positioning India favorably.
- EU leaders, led by Ursula von der Leyen, visited Delhi to strengthen trade and security bonds.
Insights & Next Steps
- Fast-tracking the India-UK FTA and India-EU BTA will elevate India’s global trade stature.
- Strategic tech and digital collaborations can fuel mutual economic gains.
- India should capitalize on geopolitical changes to enhance its European trade presence.
Mains Practice Question
“Evaluate the importance of India’s trade talks with the UK and EU amid evolving global dynamics. How can these pacts drive India’s economic progress?”
