Morning Digest: Modi begins U.K. visit, trade deal to be inked today; after 5 years, India to issue visas to Chinese tourists, and more

By Admin

24 Jul, 2025

Prime Minister Narendra Modi has arrived in the United Kingdom for a significant two-day visit that marks a turning point in India-UK relations. With a historic Free Trade Agreement (FTA) on the horizon, this visit holds immense promise for boosting economic cooperation, enhancing bilateral trade, and strengthening strategic ties between the two nations.

Strengthening the Economic Partnership

PM Modi is set to hold bilateral discussions with his British counterpart, Prime Minister Keir Starmer. Their meeting is expected to focus on expanding the economic partnership, with a shared vision of fostering prosperity, job creation, and sustainable growth in both India and the UK. This comes at a time when both countries are seeking to reframe their global trade strategies post-Brexit and in light of evolving economic priorities.

A Historic Free Trade Agreement

The centerpiece of the visit is the anticipated signing of the India-UK Free Trade Agreement, a comprehensive deal that has been under negotiation for over three years. Described by Indian High Commissioner Doraiswami as "probably our most ambitious Free Trade Agreement to date," the pact is expected to reshape the commercial landscape for both nations. It is a landmark deal that aims to eliminate tariffs on 99% of Indian exports and provide Indian goods with comprehensive market access across all sectors.

What’s in It for India and the UK?

Under the FTA, India will benefit significantly from tariff eliminations, particularly across nearly 100% of trade values and 99% of tariff lines. British firms, on the other hand, will gain easier access to the Indian market for products such as whisky, cars, and other premium exports, diversifying and expanding the trade basket. This mutual easing of trade restrictions will help streamline logistics, encourage investments, and boost consumer and industrial engagement.

Commerce Ministers to Sign the Deal

According to sources close to the development, Commerce Minister Piyush Goyal and his British counterpart Jonathan Reynolds are expected to officially sign the FTA in the presence of PM Modi and PM Starmer on Thursday. This symbolic moment will represent the culmination of years of negotiation and a step forward into a new era of collaboration.

PM Modi’s Vision for the Partnership

In his departure statement before leaving for London, Prime Minister Modi emphasized the depth and scope of the India-UK comprehensive strategic partnership, which has seen significant momentum in recent years. “Our collaboration spans a wide range of sectors, including trade, investment, technology, innovation, defence, education, research, sustainability, health, and people-to-people ties,” he stated.

Conclusion: A Transformative Moment

The India-UK FTA is more than just a trade deal it represents a strategic alignment between two of the world’s major economies. With the potential to reshape market access, employment, investment, and bilateral influence on the global stage, this agreement is set to usher in a new chapter in India-UK relations.

As PM Modi’s UK visit unfolds, the world watches closely to witness the dawn of a robust economic partnership built on shared values, mutual growth, and global ambition.