British Prime Minister Rishi Sunak on September 6 said there was 'still some way to go' for a free trade pact with India to be finalised, but appeared confident that the final outcome will be a 'forward-looking' and 'modern' deal that would benefit both sides and facilitate shared ambition of doubling trade by 2030.

 

In an exclusive interview to PTI, the first Indian-origin British Prime Minister said the trade deal could help Indian exporters gain access to the British market, including India's 48 million small and medium enterprises.

 

'A modern, forward-looking free trade agreement can put us firmly on the path to our shared ambition of doubling UK-India trade by 2030,' Mr. Sunak said.

 

'It's very exciting to have this opportunity to expand our trade relationship, and to be the first European country that India has negotiated a free trade deal with,' he said.

 

The Prime Minister’s responses to PTI’s questions were sent by email.

 

India and the U.K. are currently negotiating the ambitious free trade agreement that is expected to open new vistas of economic engagement between the two countries.

 

'A trade deal could help Indian exporters gain access to the UK market, including India's 48 million small and medium enterprises. We want a deal that slashes tariffs and red tape, helping Indian consumers and businesses get easier access to the UK goods they already enjoy,' he said.

 

The British premier said good progress has been made in the negotiations and that there is still some way to go to finalise the pact.

 

'We've made good progress in closing chapters. Round 12 of negotiations took place last month and were the hardest yet — covering complex, sensitive, and commercially meaningful issues including goods, services, and investment,' he said.

 

'There is still some way to go, but I'm confident we'll be able to agree to a deal which works for both the UK and India,' he said.

 

'And, of course, we hope to go further still, including by finalising the first Free Trade Agreement India has ever agreed with a European country. I remain confident that we can strike a deal which benefits both the UK and India.' The British prime minister said every bit of the trade between the two countries represents new jobs, more choice for consumers and a stronger link between the British and Indian people.

 

'Our trade relationship is already worth Rs 3.5 lakh crore a year — I want that number to be even higher. Every bit of trade between our countries represents new jobs, more choice for consumers and a stronger link between the British and Indian people,' he said.

 

India and the U.K.: Crafting a new legacy

In April last year, the two sides had set a Deepavali deadline for concluding the free trade agreement but the deal could not be finalised in view of differences over certain issues as well as political developments in the U.K.

 

The India-U.K. relationship was elevated to a Comprehensive Strategic Partnership during the India-U.K. virtual summit held between Prime Minister Narendra Modi and his then British counterpart Boris Johnson in May 2021.

 

At the summit, the two sides adopted a 10-year roadmap to expand ties in the key areas of trade and economy, defence and security, climate change and people-to-people connections among others.

The Agricultural & Processed Food Products Export Development Authority (APEDA) has facilitated the first-ever consignment of banana plant products from Varanasi to the UAE by air, boosting agricultural exports. APEDA plans to integrate more farmer producer organizations into the export supply chain. The Purvanchal region has seen a surge in demand for its perishable products, leading to a 248% increase in agricultural product exports in Q1 2022-23 compared to the same period last year. The region has become a preferred export destination for horticultural products, catering to Gulf countries, European nations, Nepal, and Bangladesh.

 

In a boost to agricultural products exports, the Agricultural & Processed Food Products Export Development Authority (APEDA), ministry of commerce & trade, has facilitated the maiden consignment of banana plant products – including fruit, flower, and leaf – from Varanasi to the United Arab Emirates (UAE) by air.

 

During the virtual flag-off ceremony, APEDA chairman Abhishek Dev emphasised the immense potential of agricultural products exports from Uttar Pradesh.

 

Reaffirming APEDA’s commitment to fostering international market linkages, Dev said, “We have planned to integrate more farmer producer organizations (FPOs) into the agricultural export supply chain.”

 

The banana products consignment was sourced from the Zamania Fed Farmer Producer Company, Gazipur, UP and transported via air route from Lal Bahadur Shastri International (LBSI) Airport to the UAE on Monday, said Dr CB Singh, deputy general manager APEDA, Uttar Pradesh, Uttarakhand, Bihar.

 

Singh said that these developments are the result of APEDA’s sustained efforts, driving farmers and FPOs in the Purvanchal region to engage in export-oriented production. The region’s perishable products have seen a surge in demand in the international market, contributing to a 248% increase in agricultural product exports in the first quarter of the current fiscal compared to the same period in the previous year (2022-23).

 

In the financial years 2021-22 and 2022-23, 157 metric tonnes and 561 metric tonnes of vegetables and fruits were exported from Uttar Pradesh, said Dr Singh.

 

APEDA’s establishment of an office in Varanasi in 2020, with support from the Uttar Pradesh government, marked a significant milestone.

 

Despite the challenges posed by the pandemic, the region has emerged as a preferred export destination for horticultural products, including green chillies, okra, pointed gourd, green peas, mangoes, litchi, bananas, Ivy Gourd (kundru), guava, drumstick, jackfruit, brinjal, amla, lemon, and more, catering to Gulf countries, European nations, Nepal, and Bangladesh, said Dr Singh.

 

Currently, the Varanasi region boasts numerous exporters, and the facilitation of agricultural product exports via air routes has been made possible through the establishment of robust quarantine and custom clearance facilitation centers at the LBSI Airport.

India and 10-nation ASEAN on Thursday agreed to deepen their comprehensive strategic partnership with concrete actions through practical implementation of the 'Plan of Action' to implement the ASEAN-India partnership for peace, progress and shared prosperity. In a joint statement on maritime cooperation, it was agreed to support India's connectivity initiatives in the region to ensure seamless connectivity in the Indo-Pacific, besides boosting cooperation in a range of areas including blue economy, space and food security among others.

 

The two sides agreed to deepen their comprehensive strategic partnership with concrete actions through practical implementation of the 'Plan of Action' to implement the ASEAN-India partnership for peace, progress and shared prosperity, said the statement.

 

They reaffirmed the importance of maintaining and promoting peace, stability, maritime safety and security, freedom of navigation and overflight in the region, and other lawful uses of the seas and unimpeded lawful maritime commerce and to promote peaceful resolutions of disputes, in accordance with universally recognised principles of international law, including the 1982 United Nations Convention on the Law of the Sea (UNCLOS), the statement said.

 

'We support the full and effective implementation of the Declaration of the Conduct of the Parties in the South China Sea (DOC) and look forward to an early conclusion of an effective and substantive Code of Conduct in the South China Sea (COC) in accordance with international law, including the 1982 UNCLOS,' it said.

 

The reference is significant in the backdrop of China's increasing military assertiveness in the South China Sea and its ongoing maritime territorial dispute with the Philippines.

 

The two sides agreed to further strengthen ASEAN-India cooperation on maritime safety and security, promote cooperation in a Blue Economy and develop new and renewable energy including marine-based renewable energy, among others.

 

The Association of Southeast Asian Nations (ASEAN) is considered one of the most influential groupings in the region, and India and several other countries including the US, China, Japan and Australia are its dialogue partners.

 

ASEAN-India dialogue relations started with the establishment of a sectoral partnership in 1992. This graduated to a full dialogue partnership in December 1995 and a summit-level partnership in 2002. The ties were elevated to a strategic partnership in 2012.

 

The 10 member countries of ASEAN are Indonesia, Malaysia, the Philippines, Singapore, Thailand, Brunei, Vietnam, Laos, Myanmar and Cambodia.

 

The ties between India and ASEAN have been on a significant upswing in the last few years with the focus being on boosting cooperation in the areas of trade and investment as well as security and defence.

There is a huge potential to increase exports of organic agri products as the global market stood at about USD 135 billion and India's shipments are only over USD 700 million, a top government official said on Thursday. Commerce Secretary Sunil Barthwal said that the industry should also work on improving the quality and standards of these products.

 

'Organic food segment is an important area. We need to work on this. The world market is about USD 135 billion and India's share is USD 700 million, so there is a huge potential in this... We are focusing on the sector,' Barthwal said here while inaugurating a fair of organic products - BIOFAC INDIA at India Expo Mart in Greater Noida. It was organised by APEDA.

 

He also said that there is a need to promote Indian standards of these goods and comply with the standards of importing countries.

 

The secretary urged the industry to promote the logo of India organic as it would help in promoting the credibility of the products in the international market.

 

He added that there are several goods which India is producing organically like avocado and passion fruit and there is a need to increase awareness about these domestically-produced products.

 

'Agricultural & Processed Food Products Export Development Authority (APEDA) should run a campaign about these products which are available in India,' Barthwal said, adding these exports can be further promoted through e-commerce medium and there is a need to establish the credibility of Indian organic goods.

 

He announced that soon the commerce ministry would convene a meeting of all the stakeholders of the sector to resolve their issues, if any.

 

Additional Secretary in the department of commerce Rajesh Agrawal said that APEDA will play a critical role in increasing exports.

 

Agrawal added that the ministry is working to create a platform for the sector where industry can flag their issues.

 

About industry demands to increase the number of certification bodies, he said there are 30 and the ministry would look into the issue of increasing the number.

 

APEDA Chairman Abhishek Dev said that they are working with the industry to promote the exports.

 

'We do hope that our exports will increase,' Dev said, adding the APEDA is implementing the National Programme for Organic Production (NPOP) which involves the accreditation of certification bodies, standards for organic production, promotion of organic farming and marketing.

 

The NPOP standards for production and accreditation have been recognised by the European Commission and Switzerland for unprocessed plant products as equivalent to their country standards.

 

With these recognitions, Indian organic products duly certified by the accredited certification bodies of India are accepted by the importing countries.

 

As on March 31 this year, total area under organic certification process (registered under National Programme for Organic Production) is 5,391,792.97 hectares of cultivable area and another 47,80,130.56 hectares for wild harvest collection.

 

Among all the states, Madhya Pradesh has covered the largest area under organic certification followed by Maharashtra, Gujarat, Rajasthan, Odisha, Karnataka, Uttarakhand, Sikkim, Chhattisgarh, Uttar Pradesh and Jharkhand.

 

India produced around 2.9 million tonnes (2022-23) of certified organic products which includes all varieties of food products like oil seeds, fibre, sugar cane, millets, pulses, medicinal plants, tea, coffee, fruits, spices, dry fruits, vegetables, and processed foods.

 

Exports in 2022-23 was about Rs 5,525.18 crore (USD 708.33 million). Organic products are exported to the USA, European Union, Canada, Great Britain, Switzerland, Turkey, Australia, Ecuador, Korea Republic, Vietnam, and Japan.

The government, which is looking to step up the supply of pulses from all possible sources, has abolished customs duty on US-origin masur a day before the arrival of US President Joe Biden for the G20 summit.

 

The government has also made it mandatory for local stocks of masur to be reported weekly to quell attempts at cartelisation and manipulation aimed at restricting supplies.

 

India had announced it would remove retaliatory duties on certain US products, including masur, during Prime Minister Narendra Modi’s visit to the US in June. Customs duty of 22% on masur of US origin was made zero effective September 6. This will ease the import of masur directly from the US, instead of being routed via Canada.

 

India is trying to increase supplies through imports and by keeping close watch on domestic stockpiles amid shortages of different pulses due to lower production in the previous year. There are worries about the next crop as well, due to suboptimal monsoon rainfall.

 

The Department of Consumer Affairs issued an advisory on Wednesday for mandatory stock disclosures of masur. The government wants to increase the masur buffer stock by procuring it around the minimum support price levels. However, 'Nafed and NCCF (National Cooperative Consumers Federation of India) had to suspend their tenders to purchase imported lentils due to exorbitantly high bids received from few suppliers amid hints of cartelisation,' a government release said. The government said market manipulation would be punished.

 

'At a time when lentil import flow from Canada and tur imports from African countries increase, a few players are trying to manipulate the market against the interest of the consumers and the nation,' said consumer affairs secretary Rohit Kumar Singh. 'The government is watching developments very closely and will initiate stringent measures to get the stock released into the market so availability of all pulses at reasonable prices in the festival season is ensured.' The Department of Consumer Affairs won’t hesitate to take 'stern action against those trying to hurt the interests of Indian consumers and farmers in an unscrupulous manner,' he said. TUR & MOONG Tur imports have been delayed, while moong may have to be bought from overseas. The wholesale price of whole unprocessed tur has increased nearly 25% from `100 per kg in July to around `128 per kg this month. Delays in shipments from East Africa have been driving up tur prices.

 

'As compared to about 1 lakh tonne of tur dal, which was shipped by this time of previous year, we have just about 2,500 tonnes of tur shipped so far this year,' said Satish Upadhyay, a veteran pulses importer in Maharashtra. Trade insiders said the Mozambique government has tried to impose a minimum export price. 'As compared to the average price in the previous five years, $550-600 per tonne, the price set by Mozambique is $800-900 per tonne (this year),' said Upadhyay.

 

In the case of moong, the Indian Pulses and Grains Association (IPGA) has told the central government that India may have to open up imports if the kharif output falls significantly. 'We were expecting a bumper production of moong from Rajasthan, which had received excellent rainfall from April to June,' said IPGA president Bimal Kothari.

 

'However, there was almost no rainfall in August, which can adversely affect the moong production of Rajasthan.' The area sown with moong in states such as Maharashtra and Karnataka has declined 40-50%

India showcased PM Gatishakti National Master Plan at the ‘2023 Regional Cooperation and Integration Conference: Strengthening Regional Cooperation and Integration through Economic Corridor Development (ECD)’, organized by Asian Development Bank (ADB) at Tbilisi, Georgia. The conference, held from 5th to 7th September, 2023, observed participation from more than 30 member countries comprising senior officials of ADB’s Developing Member Countries responsible for ECD, representatives of Development partner agencies and Regional cooperation organizations.

 

Indian delegation was led by Special Secretary (Logistics), Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry, Ms. Sumita Dawra.

 

The objective of the conference was to (i) explore ways to integrate spatial transformation/area-centric approach with the ECD and strengthen regional cooperation through a broader approach; and (ii) Knowledge sharing on application of the Economic Corridor Development (ECD) framework and operational guidelines, onto investable projects.

 

Ms Dawra informed the conference that PM GatiShakti – National Master Plan for Multi-modal Connectivity, a Made in India initiative, is a transformative ‘whole-of-government’ approach for integrated planning of multimodal infrastructure connectivity to economic nodes and social infrastructure, thereby improving logistics efficiency. PM Gati Shakti principles bring socio-economic area-based development as part of regional connectivity. She mentioned the Government of India’s (GoI) targeted interventions and huge capex push to infrastructure investments and adoption of geospatial and other cutting-edge technologies towards transforming the entire logistics and infrastructure ecosystem.

 

She showcased PM GatiShakti, the GIS data-based, ‘whole of Government’ approach to integrated infrastructure master planning. While global pioneers were brought together by ADB to brainstorm over broadening the scope of its ECD framework for regional cooperation. Special Secretary highlighted that India has already operationalised and is successfully implementing the PM GatiShakti, transformative approach to area-based infrastructure development. So it is not just building infrastructure connectivity, but also bringing with it both economic and social development leading to both Ease of Doing Business and Ease of Living.

 

PM GatiShakti NMP a GIS data-based digital platform with more than 1400 data layers and 50+ tools, provides visual depiction of trunk and utility infrastructure, land use, existing structures (e.g., bridge, railway crossing, a culvert), soil quality, habitation sprawl, tourism sites, forest-sensitive areas, etc., and functionalities for data based decision making such as site suitability, among others. Its institutional mechanism is fully operational at Central and State levels, thereby facilitating adoption of PMGatiShakti principles in planning and decision making.

 

She said that under PM GatiShakti a spatial / area based holistic development approach is being adopted to saturate influence areas around critical project locations / industrial clusters / tourist sites / social sector assets. Assessment of connectivity infrastructure requirements to integrate manufacturing value chain; logistics facilities, social sector institutions such as schools and hospitals; skilling centres is done at the planning stage and spatial plans are developed accordingly.

 

PM GatiShakti approach is facilitating the natural extension of the country’s hinterland multimodal corridors such as the industrial road corridors, dedicated rail freight corridors and waterway networks, towards strengthening regional connectivity and seamless trade between neighbouring countries. Since the launch of this program, 100 projects worth USD 71.26 billion have been evaluated during 54 meetings of the Network Planning Group, a critical institutional body established for ensuring adoption of GatiShakti principles in infrastructure planning. It is an effective mechanism for fast tracking and optimising infrastructure development and de-risking investments.

 

Highlighting examples of the Indo-Nepal Haldia Access Controlled Corridor project, for seamless connectivity and trade movement between Nepal and eastern Indian States, and the Regional Waterways Grid (RWG) project for multimodal connectivity to growth centres and border points, she showcased the PM GatiShakti adoption in enhancing connectivity with regional partners.

 

At the same time she suggested that ADB and partner countries can draw lessons for broadening the scope of their regional cooperation programmes like South Asia Subregional Economic Cooperation (SASEC), by integrating area-centric growth models on the lines of Gati Shakti approach, which has evidenced benefits of bringing time and cost savings to project planning, as well as reducing carbon footprint of infra projects.  

 

During further discussions among the stakeholders Special Secretary (Logistics) also presented GoI’s other digital initiatives in the logistics sector namely, the Unified Logistics Interface Platform (ULIP) and Logistics Data Bank (LDB), as effective measures for trade facilitation and ease of logistics through its various functionalities such as track and trace of cargo; authentication of service providers; digital document generation and exchange. Thereby enabling ease of doing business and attracting Private sector investments. GoI’s ongoing efforts towards development of industrial corridors, and activation zones and individual nodes / clusters along them; adequate trunk and utility network and streamlining clearances through inter-Ministerial coordination, is de-risking investments for the private sector.

 

The PM GatiShakti approach for spatial transformation / area-based comprehensive planning of logistics and infrastructure development is building Next Generation Infrastructure and promoting Ease of Living and Ease of Doing Business in the country. India’s indigenously developed GIS-based technology was offered through knowledge sharing to ADB and SASEC countries, for enhancing socio-economic planning, and regional cooperation.

The Department of Consumer Affairs, Government of India has issued advisory for mandatory stock disclosure of Masur (lentil) with immediate effect. All the stakeholders should mandatorily disclose their Masur stock on stock disclosure portal (https://fcainfoweb.nic.in/psp) managed by the department on every Friday. Any undisclosed stock if found, will be considered as hoarding and suitable action under EC Act would be initiated.

 

Shri Rohit Kumar Singh, Secretary, Department of Consumer Affairs, during the weekly price review meeting has instructed the department to broad-based the lentil buffer procurement. The objective is to procure available stocks at prices around the MSP. This came at a time when NAFED and NCCF had to suspend their tenders to purchase imported lentils due to exorbitantly high bids received from few suppliers amid hints of cartelization.

 

Secretary, Consumer Affairs stated that at the time when lentil import flow increases from Canada and Tur imports from African countries, few players are trying to manipulate the market against the interest of the consumers and the Nation. Government is watching the developments very closely and would initiate stringent measures to get the stock released into the market so that availability of all pulses at reasonable prices in the festival season is ensured.

 

He further added that judiciously balancing the interest of the farmers vis-à-vis the consumers is paramount and that the Department will not hesitate to initiate stern action against those trying to hurt the interest of Indian consumers and farmers in an unscrupulous manner.

India has removed additional duties on about half a dozen US products, including chickpeas, lentils and apples, which were imposed in 2019 in response to America's decision to increase tariffs on certain steel and aluminium products. India had imposed these duties on 28 US products in 2019 in retaliation to the US' move.

 

The finance ministry through a notification dated September 5 informed about removal of duties on the products, including chickpeas, lentils (masur), apples, walnut in shell and almonds fresh or dried, as well as almond shelled.

 

The move comes ahead of US President Joe Biden's visit to India to attend the G20 Summit on September 9-10, which would be preceded by a bilateral meeting with Prime Minister Narendra Modi on Friday.

 

During the prime minister's state visit to the US in June, both countries decided to terminate six WTO (World Trade Organization) disputes and also remove the retaliatory tariffs on certain US products.

 

As part of the agreement, India will be removing additional duty on chickpeas (10 per cent), lentils (20 per cent), almonds fresh or dried (Rs 7 per kg), almonds shelled (Rs 20 per kg), walnuts (20 per cent), and apples fresh (20 per cent).

 

In July, Minister of State for Commerce and Industry Anupriya Patel in a written reply to the Rajya Sabha had said the government has decided to remove retaliatory customs duties on import of almonds (fresh or dried, in shell), walnuts, chickpeas, lentils, apples, medical diagnostic reagents, and boric acid.

 

The removal of retaliatory tariffs or cuts in import duty with the US did not result in a loss to India, she had said.

 

The US is the largest trading partner of India. In 2022-23, the bilateral goods trade increased to USD 128.8 billion as against USD 119.5 billion in 2021-22.

Prime Minister Narendra Modi will travel to Indonesia to attend the 20th Asean-India Summit and the 18th East Asia Summit (EAS) on Wednesday.

PM Modi will leave for Indonesia on Wednesday (September 6) evening and will return to New Delhi late in the evening on the following day.

The Prime Minister will be in Jakarta at the invitation of the President of Indonesia, Joko Widodo. Both the Asean-India Summit and the 18th East Asia Summit (EAS) will take place on September 7 (Thursday).

Indonesia, the current chair of Asean, made adjustments to the schedule for both summits to facilitate Modi's early return.

PM Modi's visit to Indonesia comes ahead of the G20 Summit to be held in New Delhi on September 9-10 under India's Presidency this year.

Indonesia is part of the G20 'troika' as it had the presidency of the grouping last year.

The forthcoming Asean-India Summit will be the first Summit since the elevation of ties between India and the Association of South East Asian Nations bloc of countries to a Comprehensive Strategic Partnership in 2022.

 

The foreign ministry said that the the Summit will review the progress of India-Asean relations and chart the future direction of cooperation.

This year the Asean Summit will be chaired by Indonesia under the theme "Asean Matters: Epicentrum of Growth." This theme indicates that Indonesia expects the Asean to be relevant and significant as the centre of economic growth

According to a statement, the East Asia Summit would provide an opportunity for leaders of Asean countries and its eight dialogue partners, including India, to exchange views on issues of regional and global significance.

In August, Asean-India Economic Ministers met in Indonesia and the main agenda of this year's meeting was the timely review of the Asean-India Trade in Goods Agreement (AITIGA) which was signed in 2009.

A joint committee agreed to a regular, quarterly schedule of negotiations, which would conclude the review of the Asean-India FTA in 2025.

In 2018, Prime Minister Narendra Modi visited Jakarta at the invitation of Indonesian President Widodo. During this visit, both leaders agreed to strengthen cooperation in all areas by establishing a New Comprehensive Strategic Partnership to take the bilateral relationship between Indonesia and India into a new era.

The free trade agreement (FTA) talks with India are 'progressing' and Britain will only agree to a pact that works for the whole of the United Kingdom, British Prime Minister Rishi Sunak told his ministers at a Cabinet meeting in London on Tuesday. Ahead of his first visit to India as UK Prime Minister to attend the G20 World Leaders' Summit in New Delhi later this week, Sunak updated his top team on the ongoing trade talks which have completed 12 rounds of negotiations.

 

The British Indian leader described India as an 'indispensable partner' of the UK across all spheres of bilateral cooperation, which he is keen to strengthen further.

 

'He said negotiations around a free trade deal were progressing and that he would only agree an approach which worked for the whole of the UK,' notes a Downing Street readout of the Cabinet meeting.

 

'The Prime Minister said India was an indispensable partner of the UK, both economically and in addressing the global challenges all democracies are facing. He said we must now strengthen the UK-India relationship,' it said.

 

UK Business and Trade Secretary Kemi Badenoch, who has returned from a visit to India after talks with Commerce and Industry Minister Piyush Goyal last month, also updated the UK Cabinet on the FTA negotiations, saying that 'India is already one of the UK's largest trading partners, with a relationship worth GBP 36 billion a year'.

 

'The Prime Minister concluded Cabinet by setting out his desire to use our growing relationship in trade, defence, and technology to build a lasting and deep partnership with India which benefits the people of the UK for decades to come,' Downing Street said.

 

The 43-year-old leader is expected to receive a grand welcome when he arrives in New Delhi, with bilateral talks expected with Prime Minister Narendra Modi during the course of his stay. While the details of the visit are yet to be confirmed by Downing Street, some UK media reports have indicated that a sightseeing visit to Humayan's Tomb is expected to be on the agenda for Sunak and wife Akshata Murty.