New Delhi

UK's prime minister Keir Starmer announced plans to resume discussions on a free trade agreement with India next year.

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He aims for a significant achievement that eluded the previous prime minister - Rishi Sunak.

Starmer announced the plan after a bilateral meeting with Indian Prime Minister Narendra Modi during the Group of 20 summit in Brazil.

Discussions on trade deals between the two countries stalled in May following 14 rounds over two years. The talks were hindered initially by elections in India and subsequently in the UK.

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The robust personal connection between Modi and Sunak was perceived as the most promising opportunity for finalising an agreement. Yet it remained out of reach.

Starmer at the G20 summit said, "A new trade deal with India will support jobs and prosperity in the UK, and represent a step forward in our mission to deliver growth and opportunity across our country."

The trade deal has several obstacles to be ironed out, and Starmer will face significant challenges in achieving it.

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Nonetheless, Starmer, who assumed leadership in July, has emphasised that driving economic growth is his primary objective during his tenure.

Establishing a trade agreement with India and fostering closer economic relations with China are essential components in achieving that goal.

According to 10 Downing Street, the trading relationship between the UK and India reached 42 billion pounds in the year leading up to June 2024, with British exports representing approximately 40 per cent of the overall trade volume.