India and Britain may sign a free-trade agreement (FTA) this year since both nations have reached a consensus on broader structure of the deal, said Reuters citing a top trade ministry official.

"We want to finalise the deal at the earliest," Sunil Barthwal, India's commerce secretary, told reporters on Friday (July 28).

Barthwal said that negotiations on almost all contentious issues were completed. He added that the deal could be signed "much before" the year-end.

India views FTA with Britain as a crucial step to becoming a bigger exporter. The UK meanwhile, would obtain wider access for its whiskey, premium cars and legal services.

If the deal gets signed, it will be India's first with a developed country after its interim trade pact with Australia last year.

Britain has embarked on a search for diversified global trade relationships after its 2020 exit from the European Union.

It comes at a crucial time for Indian Prime Minister Narendra Modi, who wants to solidify New Delhi's business-friendly image ahead of national elections early next year.

Watch | UK government to make big investment in childcare as cost of it rise by over 6%

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The 11th round of talks over the deal concluded recently in London when Barthwal and Commerce &amp; Industry Minister Piyush Goyal were in London.

<h2>Things not final yet</h2>

Barthwal said that out of total 26 chapters in the FTA, discussions on 19 have been closed. These include issues related to the sensitive automobile sector.

In spite of all this progress the countries are yet to settle differences over intellectual property rights (IPR), rules of origin and an investment treaty, separate trade ministry sources said.

Consensus has been reached on the issue of rules of investment but custom authorities of both countries are still working out modalities.

Also Read | <a href="https://www.wionews.com/india-news/india-uk-conclude-11th-round-of-negotiations-for-fta-next-round-of-talks-to-take-place-in-coming-months-619027">India, UK conclude 11th round of negotiations for FTA, next round of talks to take place in coming months</a>

"Nothing is final till everything is final," he said when asked about details of concessions India was offering to the UK, adding that the next round of negotiations will be held shortly.

India is pushing for a "zero tariff" for textile, leather and other labour-intensive manufacturing sectors while Britain had sought tariff concessions in other areas, said Barthwal.

Bilateral trade between India and the United Kingdom rose 16.6% year-on-year to $20.42 billion in the 2022-23 fiscal year ending in March.

(With inputs from agencies)

You can now write for wionews.com and be a part of the community. Share your stories and opinions with us <a href="https://www.wionews.com/content-contribution-registration-form">here</a>.

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India and Britain may sign a free-trade agreement (FTA) this year since both nations have reached a consensus on broader structure of the deal, said Reuters citing a top trade ministry official.

India and Britain may sign a free-trade agreement (FTA) this year since both nations have reached a consensus on broader structure of the deal, said Reuters citing a top trade ministry official. "We want to finalise the deal at the earliest," Sunil Barthwal, India's commerce secretary, told reporters on Friday (July 28). Barthwal said that negotiations on almost all contentious issues were completed. He added that the deal could be signed "much before" the year-end. India views FTA with Britain as a crucial step to becoming a bigger exporter. The UK meanwhile, would obtain wider access for its whiskey, premium cars and legal services. If the deal gets signed, it will be India's first with a developed country after its interim trade pact with Australia last year. Britain has embarked on a search for diversified global trade relationships after its 2020 exit from the European Union. It comes at a crucial time for Indian Prime Minister Narendra Modi, who wants to solidify New Delhi's business-friendly image ahead of national elections early next year. Watch | UK government to make big investment in childcare as cost of it rise by over 6% × The 11th round of talks over the deal concluded recently in London when Barthwal and Commerce & Industry Minister Piyush Goyal were in London. Things not final yet Barthwal said that out of total 26 chapters in the FTA, discussions on 19 have been closed. These include issues related to the sensitive automobile sector. In spite of all this progress the countries are yet to settle differences over intellectual property rights (IPR), rules of origin and an investment treaty, separate trade ministry sources said. Consensus has been reached on the issue of rules of investment but custom authorities of both countries are still working out modalities. Also Read | India, UK conclude 11th round of negotiations for FTA, next round of talks to take place in coming months "Nothing is final till everything is final," he said when asked about details of concessions India was offering to the UK, adding that the next round of negotiations will be held shortly. India is pushing for a "zero tariff" for textile, leather and other labour-intensive manufacturing sectors while Britain had sought tariff concessions in other areas, said Barthwal. Bilateral trade between India and the United Kingdom rose 16.6% year-on-year to $20.42 billion in the 2022-23 fiscal year ending in March. (With inputs from agencies) You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here. WATCH WION LIVE HERE ×

Done deal? India-UK free trade agreement may be signed this year: Official

Iran has been facing Western sanctions ever since the Fallout over the 2015 nuclear deal which America was a signatory tool. Now Russia which was part of the JCPOA says talks between Iran and the Eurasian Economic Union are now in the final stages and a pact is likely to be signed by year-end for the creation of a free trade zone agreement. Watch to know more

Eurasia eyes Iran for free trade | Latest English News

The free trade agreement (FTA) between India and Australia, which comes into effect from Thursday, will help boost bilateral trade in goods and services to cross $45-50 billion.

India-Australia trade agreement to help bilateral trade cross $45-50 billion

United Kingdom's Trade Secretary Kemi Badenoch will be in Delhi from today as the 6th round of FTA negotiations between the UK and India begin. Both sides are working on an ambitious trade pact that aims to ease customs duties on goods.

UK trade secretary arrives in Delhi to discuss Free Trade Agreement

The Free Trade Agreement (FTA) between Australia and India has been approved by the Australian Parliament, Prime Minister Anthony Albanese tweeted&nbsp;on Tuesday.

"BREAKING: Our Free Trade Agreement with India has passed through parliament," Albanese tweeted.

This occurs shortly after Albanese announced that he will travel to India in March of the following year. On the eve of the 17th G20 conference, he made this announcement.

"I also met with Prime Minister Modi of India, where we discussed the finalization of the closer economic cooperation agreement between Australia and India, which we regard as being very important for expanding the economic relationship between Australia and India. I will visit India in March," said Albanese while addressing the presser on Wednesday.&nbsp;

"We'll take a business delegation to India. And that will be an important visit and an upgrade in the relationship that we have between our two nations," he added.

Also Read:&nbsp;<a href="https://www.wionews.com/world/iran-enriching-uranium-to-60-purity-at-underground-fordow-nuclear-site-536444">Iran enriching uranium to 60% purity at underground Fordow nuclear site</a>

The trade deal with India gives a significant opportunity for Australian service providers and experts to enter the Indian market, according to Australian Trade Minister Don Farrell.

The Economic Cooperation and Trade Agreement (ECTA) between Australia and India was signed on April 2.&nbsp;

The Australian government claims that the deal will strengthen Australia's position in the large economy with the highest rate of growth in the world and give Australian companies access to or room to grow in a market with close to 1.5 billion people.

(with inputs from agencies)

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The Free Trade Agreement (FTA) between Australia and India has been approved by the Australian Parliament, Prime Minister Anthony Albanese tweeted on Tuesday. "BREAKING: Our Free Trade Agreement with India has passed through parliament," Albanese tweeted.

The Free Trade Agreement (FTA) between Australia and India has been approved by the Australian Parliament, Prime Minister Anthony Albanese tweeted on Tuesday. "BREAKING: Our Free Trade Agreement with India has passed through parliament," Albanese tweeted. This occurs shortly after Albanese announced that he will travel to India in March of the following year. On the eve of the 17th G20 conference, he made this announcement. "I also met with Prime Minister Modi of India, where we discussed the finalization of the closer economic cooperation agreement between Australia and India, which we regard as being very important for expanding the economic relationship between Australia and India. I will visit India in March," said Albanese while addressing the presser on Wednesday. "We'll take a business delegation to India. And that will be an important visit and an upgrade in the relationship that we have between our two nations," he added. Also Read: Iran enriching uranium to 60% purity at underground Fordow nuclear site The trade deal with India gives a significant opportunity for Australian service providers and experts to enter the Indian market, according to Australian Trade Minister Don Farrell. The Economic Cooperation and Trade Agreement (ECTA) between Australia and India was signed on April 2. The Australian government claims that the deal will strengthen Australia's position in the large economy with the highest rate of growth in the world and give Australian companies access to or room to grow in a market with close to 1.5 billion people. (with inputs from agencies)

Australian parliament ratifies free trade agreement with India

British Prime Minister Rishi Sunak said on Thursday that he had a conversation with Indian Prime Minister Narendra Modi regarding the Free Trade Agreement during the G20 Summit in Indonesia.&nbsp;During his first address in the British parliament, Sunak was questioned about his meeting with various global leaders and he responded by saying that the government will not "sacrifice quality for speed".&nbsp;

Also read |&nbsp;<a href="https://www.wionews.com/world/us-midterm-results-republicans-lead-in-house-democrats-get-senate-as-washington-sees-divided-govt-534350">Republicans control House, can now investigate Biden</a>

"When it comes to trade deals, whoever they may be with, what I won't do is sacrifice quality for speed. I think it is important that we take the time to get trade deals right. This government believes wholeheartedly in the power and the benefits of free trade, it's something that we will champion around the world,” Sunak said while responding to questions from Labour Party’s Keir Starmer.&nbsp;

"I did discuss the free trade agreement with India and both the Prime Minister [Modi] and I committed our teams to work as quickly as we can to see if we can bring a successful conclusion to those negotiations," he added when he was asked by multiple MPs about the meeting with Modi.&nbsp;

WATCH |&nbsp;India heads towards G20 presidency; to host summit in 2023

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The Free Trade Agreement between the UK and India will enable both countries to boost trade and investments. While the agreement has not been finalised, it is expected to be completed by 2023.&nbsp;

Earlier, Sunak gave the green signal to 3000 visas for young Indian professionals to live and work in the UK each year. This was the first scheme of its kind and Sunak hailed it as a symbol of friendship between the two nations and said that it will enable young people from both countries to pursue their dreams.&nbsp;

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British Prime Minister Rishi Sunak said on Thursday that he had a conversation with Indian Prime Minister Narendra Modi regarding the Free Trade Agreement during the G20 Summit in Indonesia.

British Prime Minister Rishi Sunak said on Thursday that he had a conversation with Indian Prime Minister Narendra Modi regarding the Free Trade Agreement during the G20 Summit in Indonesia. During his first address in the British parliament, Sunak was questioned about his meeting with various global leaders and he responded by saying that the government will not "sacrifice quality for speed". Also read | Republicans control House, can now investigate Biden "When it comes to trade deals, whoever they may be with, what I won't do is sacrifice quality for speed. I think it is important that we take the time to get trade deals right. This government believes wholeheartedly in the power and the benefits of free trade, it's something that we will champion around the world,” Sunak said while responding to questions from Labour Party’s Keir Starmer. "I did discuss the free trade agreement with India and both the Prime Minister [Modi] and I committed our teams to work as quickly as we can to see if we can bring a successful conclusion to those negotiations," he added when he was asked by multiple MPs about the meeting with Modi. WATCH | India heads towards G20 presidency; to host summit in 2023 The Free Trade Agreement between the UK and India will enable both countries to boost trade and investments. While the agreement has not been finalised, it is expected to be completed by 2023. Earlier, Sunak gave the green signal to 3000 visas for young Indian professionals to live and work in the UK each year. This was the first scheme of its kind and Sunak hailed it as a symbol of friendship between the two nations and said that it will enable young people from both countries to pursue their dreams.

Rishi Sunak reveals details about discussion regarding FTA with Narendra Modi at G20 summit

The long-awaited interim free trade agreement (FTA) between India and Australia will be signed this weekend.

According to insiders, all concerns between the two parties have been settled.

India will benefit from labor-intensive industries such as leather, gems, and jewellery.

Both countries' two-way trade was $24.3 billion in 2020, and India was Australia's seventh largest trading partner.

Earlier this month, Indian PM Modi and Australian PM Morrison held a virtual summit, the second&nbsp;such summit in two years.

During the summit, the PM said, "remarkable progress has been made in a very short time....The early completion of the comprehensive economic cooperation agreement (CECA) will be crucial for our economic relations, economic revival, and economic security".&nbsp;

Australian Trade minister Dan Tehan and Indian trade minister Piyush Goyal have held a number of talks, including many visits by the Australian minister to Delhi. Minister Tehan was in Delhi in February, during which it was decided that the interim FTA would be signed within 30 days and the comprehensive economic cooperation agreement within 12 months.

India and Australia have seen a number of engagements, including Morrison's government announcing an investment worth $280 million to increase cooperation with India.

According to Australia's Update to the India Economic Strategy to 2035, the Australian government will provide $16.6 million to strengthen linkages with India’s financial institutions.

The diaspora forms a key pillar of ties. The Indian diaspora is Australia’s fastest growing large diaspora community.

The Indian-born population became Australia’s second-largest overseas-born migrant group, behind the UK-born at 721,050-strong in 2020.

The long-awaited interim free trade agreement (FTA) between India and Australia will be signed this weekend. According to insiders, all concerns between the two parties have been settled.

The long-awaited interim free trade agreement (FTA) between India and Australia will be signed this weekend. According to insiders, all concerns between the two parties have been settled. India will benefit from labor-intensive industries such as leather, gems, and jewellery. Both countries' two-way trade was $24.3 billion in 2020, and India was Australia's seventh largest trading partner. Earlier this month, Indian PM Modi and Australian PM Morrison held a virtual summit, the second such summit in two years. During the summit, the PM said, "remarkable progress has been made in a very short time....The early completion of the comprehensive economic cooperation agreement (CECA) will be crucial for our economic relations, economic revival, and economic security". Australian Trade minister Dan Tehan and Indian trade minister Piyush Goyal have held a number of talks, including many visits by the Australian minister to Delhi. Minister Tehan was in Delhi in February, during which it was decided that the interim FTA would be signed within 30 days and the comprehensive economic cooperation agreement within 12 months. India and Australia have seen a number of engagements, including Morrison's government announcing an investment worth $280 million to increase cooperation with India. According to Australia's Update to the India Economic Strategy to 2035, the Australian government will provide $16.6 million to strengthen linkages with India’s financial institutions. The diaspora forms a key pillar of ties. The Indian diaspora is Australia’s fastest growing large diaspora community. The Indian-born population became Australia’s second-largest overseas-born migrant group, behind the UK-born at 721,050-strong in 2020.

India-Australia interim free trade agreement to be signed over the weekend

The UK India Business Council (UKIBC) chair Richard Heald says that India offers a more "favourable opportunity and operating environment" for businesses, as compared to China. This is because of "ease of doing business, because of transparency,(and) rule of law that exists". India has taken a number of reforms in the last few years and climbed up the ease of doing business ladder of the world bank.

Speaking to our diplomatic correspondent Sidhant Sibal, Heald also spoke about the India-UK Free Trade Agreement (FTA) talks.&nbsp;He said that the talks will focus on, "what India wants and what UK can provide in terms of satisfying India's ambition. Like areas of Eletronic vehicles, batteries, the technology is being developed in UK but is being deployed and refined in India."&nbsp;

Also read |&nbsp;<a href="https://www.wionews.com/india-news/pm-modi-pays-tribute-to-jawaharlal-nehru-on-his-132nd-birth-anniversary-429312" hreflang="en">PM Modi pays tribute to Jawaharlal Nehru on his 132nd birth anniversary</a>

Talks on the India-UK FTA is set to begin in December with the visit of the UK commerce secretary to India.

UK is the 6th largest inward investor in India, after Mauritius, Singapore, Netherlands, Japan, and the USA with a cumulative equity investment of US $28.39 billion. Meanwhile, India has invested in 120 projects and created 5,429 new jobs in the UK to become the second-largest source of foreign direct investment (FDI) after the US in 2019 according to the Department for International Trade (DIT) inward investment statistics for 2019-2020.

WION: How do you see India-UK business and investment engagement?

Richard Heald: The business relationship is in a very good place, at this present moment in time. That might be a surprising statement, given what India and UK have gone through (during) Covid.&nbsp;

The way businesses in both countries have collaborated in order to alleviate a lot of negativity and suffering that has occurred during the past months has been remarkable.

For example, the collaboration between AstraZeneca and Serum Institute is a real exemplar of how the collaboration can occur, the benefits to the economy. I really do think that we (have) established very good business-to-business (B2B) ties, going forward.

Also read |&nbsp;<a href="https://www.wionews.com/india-news/ahead-of-putin-visit-russia-begins-delivery-of-s400-air-defence-system-to-india-429195" hreflang="en">Ahead of Putin visit, Russia begins delivery of S400 air defence system to India</a>

WION: India-UK FTA talks are expected to start in December. What is UKIBC's expectation?

Richard Heald: I think it is a very exciting time. It is being built up over government-to-government (G2G) collaboration between your minister and his UK counterpart and what we are seeing is many months of dialogue which has been going on over a number of years. Business is extremely excited over the opportunities available here.&nbsp;

In the UK we have gone through a statutory consultation period. We have submitted that to our govt and we know that FICCI and CII have done the same. That is being fed into both governments' positions in relation to FTA.&nbsp;

I would add, there is going to be an announcement about the commencement of discussion around the FTA. There has already been considerable dialogue between the two governments going forward. A lot of groundwork has been put in place. I have been involved in dialogue on both the Indian and UK sides.&nbsp;

I have been struck by how similar have been the requests of businesses to each government. We are looking forward to levelling the playing field in terms of standards, in terms of operating practices, in terms of tariffs that align with world standards.&nbsp;

(This) allows us to develop those areas which both PMs have indicated are important for our two nations. Within a general context, those are the real thing that we are looking forward to.

WION: How do you see India as an investment destination?

Richard Heald: In terms of FTA, we focus on tariff barriers, in terms of trade and investment and we focus on operating ease of doing business.&nbsp;

What we have heard from UK businesses is that they are asking the UK Government to have an equal emphasis and equal focus on helping India improve its ease of doing business ranking.&nbsp;

To a large extent that is an indication of the amount of investment UK businesses are doing or have done in the past few years and decades. We employ 700,000 people in India and 5 per cent of the organised sector. So ease of doing business is equally important. GST is equally important, the digitisation of licenses is also important, more things can be done. Progress has been significant.

Also read |&nbsp;<a href="https://www.wionews.com/india-news/after-rbis-warning-against-cryptocurrency-pm-modi-chairs-crucial-meeting-429192" hreflang="en">After RBI's warning against cryptocurrency, PM Modi chairs crucial meeting</a>

WION: The rationale of having India-UK FTA...How does it help India in having FTA with the UK?

Richard Heald: If we look at the relationship between UK and India historically it has always been knowing each other's wishes, each other's requirements and being able to transact business on a relatively free basis between each other.&nbsp;

Indian diaspora is fundamental to the understanding between our two countries. UK has been historically very much present in India and therefore what we are looking forward to in terms of FTA if you like to consolidate that--to focus on what India wants and what the UK can provide in terms of satisfying India's ambition.&nbsp;

Like areas of Electronic vehicles, batteries; the technology is being developed in the UK but is being deployed and refined in India. It is that sort of colouration we are looking at FTA to catalyze and accelerate.

WION: Any timeline for the FTA? We saw India-EU taking their time.

Richard Heald: One observation, that when you are dealing with an entity made up of multiple nations, and you have to square off the different interests, that certainly becomes problematic.&nbsp;

Here we are dealing on a bilateral basis between two nations (that have) known each other for a long time and have a good relationship. I am optimistic, we will not be in the same situation.&nbsp;

That being said, there are complicated issues at stake here and certain items within the FTA, which both sides want to discuss and resolve, that are going to take longer to resolve.&nbsp;

There are early harvest agreement talks, which is a positive development and UK IBC will welcome them since it shows willingness and momentum. The way forward is to have a series of agreements that, aggregated together, will become part and parcel of the FTA. I don't think we will see a big bang, I think it will be an incremental process.

WION: India vs China, where will UK businesses put money, especially in the backdrop of the Evergrande crisis in China?

Richard Heald: What I always say, businesses don't tend to invest in either India or China. They don't see the two entities as mutually exclusive; you look at where the opportunity is, which may cause you to invest in both countries.&nbsp;

If you look at the operating basis, I believe that opportunity and operating environment is more favourable in India versus China. Because of ease of doing business, because of transparency, rule of law that exists in India.&nbsp;

Also, reforms and legislations that exists in India, particularly in relation to addressing the thorny issue of dealing with retrospective tax have had a positive impact on businesses that aren't yet invested in India.&nbsp;

Taken as a whole, plus, you have an extremely dynamic consumer sector and opportunity within the domestic economy. Therefore, India is an extremely attractive investment destination across a whole range of sectors. We are seeing that we have seen businesses engage, as operators within India.

The UK India Business Council (UKIBC) chair Richard Heald says that India offers a more "favourable opportunity and operating environment" for businesses, as compared to China.

The UK India Business Council (UKIBC) chair Richard Heald says that India offers a more "favourable opportunity and operating environment" for businesses, as compared to China. This is because of "ease of doing business, because of transparency,(and) rule of law that exists". India has taken a number of reforms in the last few years and climbed up the ease of doing business ladder of the world bank. Speaking to our diplomatic correspondent Sidhant Sibal, Heald also spoke about the India-UK Free Trade Agreement (FTA) talks. He said that the talks will focus on, "what India wants and what UK can provide in terms of satisfying India's ambition. Like areas of Eletronic vehicles, batteries, the technology is being developed in UK but is being deployed and refined in India." Also read | PM Modi pays tribute to Jawaharlal Nehru on his 132nd birth anniversary Talks on the India-UK FTA is set to begin in December with the visit of the UK commerce secretary to India. UK is the 6th largest inward investor in India, after Mauritius, Singapore, Netherlands, Japan, and the USA with a cumulative equity investment of US $28.39 billion. Meanwhile, India has invested in 120 projects and created 5,429 new jobs in the UK to become the second-largest source of foreign direct investment (FDI) after the US in 2019 according to the Department for International Trade (DIT) inward investment statistics for 2019-2020. WION: How do you see India-UK business and investment engagement? Richard Heald: The business relationship is in a very good place, at this present moment in time. That might be a surprising statement, given what India and UK have gone through (during) Covid. The way businesses in both countries have collaborated in order to alleviate a lot of negativity and suffering that has occurred during the past months has been remarkable. For example, the collaboration between AstraZeneca and Serum Institute is a real exemplar of how the collaboration can occur, the benefits to the economy. I really do think that we (have) established very good business-to-business (B2B) ties, going forward. Also read | Ahead of Putin visit, Russia begins delivery of S400 air defence system to India WION: India-UK FTA talks are expected to start in December. What is UKIBC's expectation? Richard Heald: I think it is a very exciting time. It is being built up over government-to-government (G2G) collaboration between your minister and his UK counterpart and what we are seeing is many months of dialogue which has been going on over a number of years. Business is extremely excited over the opportunities available here. In the UK we have gone through a statutory consultation period. We have submitted that to our govt and we know that FICCI and CII have done the same. That is being fed into both governments' positions in relation to FTA. I would add, there is going to be an announcement about the commencement of discussion around the FTA. There has already been considerable dialogue between the two governments going forward. A lot of groundwork has been put in place. I have been involved in dialogue on both the Indian and UK sides. I have been struck by how similar have been the requests of businesses to each government. We are looking forward to levelling the playing field in terms of standards, in terms of operating practices, in terms of tariffs that align with world standards. (This) allows us to develop those areas which both PMs have indicated are important for our two nations. Within a general context, those are the real thing that we are looking forward to. WION: How do you see India as an investment destination? Richard Heald: In terms of FTA, we focus on tariff barriers, in terms of trade and investment and we focus on operating ease of doing business. What we have heard from UK businesses is that they are asking the UK Government to have an equal emphasis and equal focus on helping India improve its ease of doing business ranking. To a large extent that is an indication of the amount of investment UK businesses are doing or have done in the past few years and decades. We employ 700,000 people in India and 5 per cent of the organised sector. So ease of doing business is equally important. GST is equally important, the digitisation of licenses is also important, more things can be done. Progress has been significant. Also read | After RBI's warning against cryptocurrency, PM Modi chairs crucial meeting WION: The rationale of having India-UK FTA...How does it help India in having FTA with the UK? Richard Heald: If we look at the relationship between UK and India historically it has always been knowing each other's wishes, each other's requirements and being able to transact business on a relatively free basis between each other. Indian diaspora is fundamental to the understanding between our two countries. UK has been historically very much present in India and therefore what we are looking forward to in terms of FTA if you like to consolidate that--to focus on what India wants and what the UK can provide in terms of satisfying India's ambition. Like areas of Electronic vehicles, batteries; the technology is being developed in the UK but is being deployed and refined in India. It is that sort of colouration we are looking at FTA to catalyze and accelerate. WION: Any timeline for the FTA? We saw India-EU taking their time. Richard Heald: One observation, that when you are dealing with an entity made up of multiple nations, and you have to square off the different interests, that certainly becomes problematic. Here we are dealing on a bilateral basis between two nations (that have) known each other for a long time and have a good relationship. I am optimistic, we will not be in the same situation. That being said, there are complicated issues at stake here and certain items within the FTA, which both sides want to discuss and resolve, that are going to take longer to resolve. There are early harvest agreement talks, which is a positive development and UK IBC will welcome them since it shows willingness and momentum. The way forward is to have a series of agreements that, aggregated together, will become part and parcel of the FTA. I don't think we will see a big bang, I think it will be an incremental process. WION: India vs China, where will UK businesses put money, especially in the backdrop of the Evergrande crisis in China? Richard Heald: What I always say, businesses don't tend to invest in either India or China. They don't see the two entities as mutually exclusive; you look at where the opportunity is, which may cause you to invest in both countries. If you look at the operating basis, I believe that opportunity and operating environment is more favourable in India versus China. Because of ease of doing business, because of transparency, rule of law that exists in India. Also, reforms and legislations that exists in India, particularly in relation to addressing the thorny issue of dealing with retrospective tax have had a positive impact on businesses that aren't yet invested in India. Taken as a whole, plus, you have an extremely dynamic consumer sector and opportunity within the domestic economy. Therefore, India is an extremely attractive investment destination across a whole range of sectors. We are seeing that we have seen businesses engage, as operators within India.

Exclusive | "Operating environment favourable in India than China," UKIBC Chief

The historic between the European Union and India has now concluded and as expected trade became one of the main topics on the agenda. In a major development India and EU have decided to resume negotiations for Free Trade Agreement after eight years of a stalemate.

FTA: India & European Union hail meeting as 'Historic'

Israeli's top business chamber, the Federation of Israeli Chambers of Commerce (FICC) has extended strong support to a free trade agreement (FTA) with India.

Uriel Lynn, President of the Federation of Israeli Chambers of Commerce in response to a question by WION said, "You can export to Israel as much you can, as much you want...we would like to see a free trade agreement with India because our economy is based on free competition.... You don't have to worry about Israel. We are not such a big country, you are a big country".

Watch |&nbsp;

<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/extracting-potable-water-from-air-this-israeli-firm-in-gaza-is-turning-air-into-drinking-water-354882/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>

FICC, more than 100 years old was formed in 1919 is the country's largest business organization. &nbsp;"Many many Israeli countries would like to invest in India, you are a big market", Uriel Lynn pointing out to sectors like agriculture, cyber, water resources where Israel has a strong footprint.

India is Israel's third-largest trade partner in Asia and seventh largest globally. Bilateral trade has diversified into several sectors such as pharmaceuticals, agriculture, IT and telecom, and homeland security.

Even as high-level political engagement increased between the 2 countries, the focus is increasingly on business and investment. During PM Modi’s famous visit in July 2017, the first meeting of the newly established India-Israel CEOs Forum took place. The second meeting of the forum took place during PM Netanyahu’s visit to India. 
&nbsp;

Israeli's top business chamber, the Federation of Israeli Chambers of Commerce (FICC) has extended strong support to a free trade agreement (FTA) with India. Uriel Lynn, President of the Federation of Israeli Chambers of Commerce in response to a question by WION said, "You can export to Israel as much you can, as much you want.

Israeli's top business chamber, the Federation of Israeli Chambers of Commerce (FICC) has extended strong support to a free trade agreement (FTA) with India. Uriel Lynn, President of the Federation of Israeli Chambers of Commerce in response to a question by WION said, "You can export to Israel as much you can, as much you want...we would like to see a free trade agreement with India because our economy is based on free competition.... You don't have to worry about Israel. We are not such a big country, you are a big country". Watch | FICC, more than 100 years old was formed in 1919 is the country's largest business organization. "Many many Israeli countries would like to invest in India, you are a big market", Uriel Lynn pointing out to sectors like agriculture, cyber, water resources where Israel has a strong footprint. India is Israel's third-largest trade partner in Asia and seventh largest globally. Bilateral trade has diversified into several sectors such as pharmaceuticals, agriculture, IT and telecom, and homeland security. Even as high-level political engagement increased between the 2 countries, the focus is increasingly on business and investment. During PM Modi’s famous visit in July 2017, the first meeting of the newly established India-Israel CEOs Forum took place. The second meeting of the forum took place during PM Netanyahu’s visit to India.

Israel's top business chamber bats for FTA with India

The <a href="https://www.wionews.com/india-news/we-understand-indias-concerns-but-rcep-deal-could-benefit-her-exporters-china-260287">Regional Comprehensive Economic Partnership</a> (RCEP) agreement was an unbalanced agreement, which was not fulfilling the guiding principles on which the pact was initiated,&nbsp;India's Industry and Commerce Minister Piyush Goyal said in Davos as he led the Indian delegation to the annual World Economic Forum.

Speaking during a session at WEF, Goyal said, "RCEP was an unbalanced trade agreement, which was not fulfilling the guiding principles on which the RCEP was started. Therefore, India chose not to participate in it."&nbsp;

The Union Minister further said that India is not willing to engage with the RCEP unless it sees a "greater degree of transparency, open government, regulatory practice and greater market access."

<a href="https://www.wionews.com/india-news/rcep-pull-out-in-the-face-of-chinese-products-potentially-flooding-the-market-india-wants-to-reduce-deficits-and-keep-data-localisation-intact-260125">Also read | RCEP pull-out: India stands by reduced trade deficits, data localisation, and enhancing domestic markets</a>

"Trade negotiations are very complex issues. We are not negotiating trade with deadlines and in a hurry. The FTAs that were entered into from 2009-12, sadly did not have as many stakeholder consultations as our government is doing," said Goyal.

Last year,<a href="https://www.wionews.com/india-news/decision-to-stay-away-from-rcep-was-bold-historic-for-india-amit-shah-261907"> India decided not to join the RCEP agreement</a> as its key concerns were not addressed.

The key issues behind India's decision not to be part of RCEP included inadequate protection against import surge, insufficient differential with China, possible circumvention of rules of origin, keeping the base year as 2014 and no credible assurances on market access and non-tariff barriers.

The RCEP is a proposed free trade agreement (FTA) between the ten member-states of ASEAN and FTA partners.

Meanwhile, at WEF, Goyal&nbsp;had a number of engagements with various ministers of other countries and CEOs of prestigious companies including, Apple CEO Tim Cook, Tadashi Maeda, Governor of Japan Bank for International Cooperation.

(With inputs from agencies)

The Regional Comprehensive Economic Partnership (RCEP) agreement was an unbalanced agreement, which was not fulfilling the guiding principles on which the pact was initiated, India's Industry and Commerce Minister Piyush Goyal said in Davos as he led the Indian delegation to the annual World Economic Forum.

The Regional Comprehensive Economic Partnership (RCEP) agreement was an unbalanced agreement, which was not fulfilling the guiding principles on which the pact was initiated, India's Industry and Commerce Minister Piyush Goyal said in Davos as he led the Indian delegation to the annual World Economic Forum. Speaking during a session at WEF, Goyal said, "RCEP was an unbalanced trade agreement, which was not fulfilling the guiding principles on which the RCEP was started. Therefore, India chose not to participate in it." The Union Minister further said that India is not willing to engage with the RCEP unless it sees a "greater degree of transparency, open government, regulatory practice and greater market access." Also read | RCEP pull-out: India stands by reduced trade deficits, data localisation, and enhancing domestic markets "Trade negotiations are very complex issues. We are not negotiating trade with deadlines and in a hurry. The FTAs that were entered into from 2009-12, sadly did not have as many stakeholder consultations as our government is doing," said Goyal. Last year, India decided not to join the RCEP agreement as its key concerns were not addressed. The key issues behind India's decision not to be part of RCEP included inadequate protection against import surge, insufficient differential with China, possible circumvention of rules of origin, keeping the base year as 2014 and no credible assurances on market access and non-tariff barriers. The RCEP is a proposed free trade agreement (FTA) between the ten member-states of ASEAN and FTA partners. Meanwhile, at WEF, Goyal had a number of engagements with various ministers of other countries and CEOs of prestigious companies including, Apple CEO Tim Cook, Tadashi Maeda, Governor of Japan Bank for International Cooperation. (With inputs from agencies)

RCEP was unbalanced trade agreement, says Piyush Goyal at World Economic Forum

The US may offer Pakistan a free trade agreement (FTA) in return for its assistance in ending the Afghan war, a media report said on Thursday.&nbsp;

Dawn reported from Washington that official sources said that US Senator Lindsey Graham, who visited Islamabad this week, is believed to have discussed this idea with Pakistani leaders.

Graham first proposed offering an FTA to Pakistan, after a recent visit to Afghanistan.

"If we can go to Pakistan and put a free trade agreement on the table to get the Pakistanis to push the Taliban to the peace table, and you can end the Afghan war," he said.

Graham, a Republican member of the Senate Armed Services Committee, is considered President Trump's closest ally in Congress and the US media say that the president often uses him to float ideas that he wants debated publicly.

Before leaving for Islamabad last week, Senator Graham is believed to have said in close official circles that he would discuss his FTA proposal with Pakistani leaders and also explore the possibility of arranging the Pakistani prime minister's visit to Washington.

Graham indicated that this was not just his proposal as people in the White House also wanted to explore both possibilities.&nbsp;

The US has long complained Pakistan provides sanctuaries to the leadership of the Afghan Taliban. It has also long claimed Islamabad could do more to bring the Taliban to the table for negotiations.

The US may offer Pakistan a free trade agreement (FTA) in return for its assistance in ending the Afghan war, a media report said on Thursday. Dawn reported from Washington that official sources said that US Senator Lindsey Graham, who visited Islamabad this week, is believed to have discussed this idea with Pakistani leaders.

The US may offer Pakistan a free trade agreement (FTA) in return for its assistance in ending the Afghan war, a media report said on Thursday. Dawn reported from Washington that official sources said that US Senator Lindsey Graham, who visited Islamabad this week, is believed to have discussed this idea with Pakistani leaders. Graham first proposed offering an FTA to Pakistan, after a recent visit to Afghanistan. "If we can go to Pakistan and put a free trade agreement on the table to get the Pakistanis to push the Taliban to the peace table, and you can end the Afghan war," he said. Graham, a Republican member of the Senate Armed Services Committee, is considered President Trump's closest ally in Congress and the US media say that the president often uses him to float ideas that he wants debated publicly. Before leaving for Islamabad last week, Senator Graham is believed to have said in close official circles that he would discuss his FTA proposal with Pakistani leaders and also explore the possibility of arranging the Pakistani prime minister's visit to Washington. Graham indicated that this was not just his proposal as people in the White House also wanted to explore both possibilities. The US has long complained Pakistan provides sanctuaries to the leadership of the Afghan Taliban. It has also long claimed Islamabad could do more to bring the Taliban to the table for negotiations.

US may offer free trade agreement to Pakistan to assist in ending Afghan war: Report

By:&nbspCharles Hankla*

The latest G-7 summit, held June 8 to 9 in Quebec, was one of the most contentious in years.

That's because Donald Trump and his counterparts from six other industrialised countries have been at loggerheads over the president's aggressive but unstable trade policy. Trump's renunciation of the Iran nuclear deal, his efforts to renegotiate NAFTA and his intransigent stance on climate change are not helping matters. Nor is his proposal to readmit Russia to the G-7 gathering.

But the ink on the G-7 communique wasn't dry before Trump darted to Singapore to meet with North Korean leader Kim Jong Un for nuclear talks, another example of his unpredictable decision-making style. One moment he’s threatening war with the dictator, and the next he’s buttering him up for a summit.

One way to understand Trump's foreign policy decisions is to focus on their inconsistency rather than their content. Let's take trade policy as an example.

I have written a number of times about the economic dangers of the Trump administration's tilt toward protectionism. And I have pointed to the risk that Trump's use of trade policy as a unilateral weapon could undermine the rule-based international order.

I remain worried about these issues, but what has struck me much more deeply in recent days is the seeming inconsistency, indeed instability, of Trump's behavior on trade. It is worth considering its causes and consequences – which extend far beyond trade to his nuclear game of chess with North Korea and Iran.

Trouble in Trump trade land

First, let's review just a few of Trump's recent trade decisions.

At the G7, Trump's belligerent and unpredictable trade policy was the main reason the other leaders – which also include Germany's Angela Merkel, the U.K.'s Theresa May and France's Emmanuel Macron – are so perturbed. Some commentators are even beginning to term the meeting a "G6 plus one" to signify Trump's estrangement from his allies.

Recent events have inflamed tensions significantly. The White House said on May 31 that it would impose steel and aluminum tariffs on the European Union, Canada and Mexico. The three had previously received exemptions from the new tariffs, first imposed in March and justified with a little-used national security provision.

All are now planning retaliatory tariffs against the United States, along with legal action at the World Trade Organisation. Friends indeed.

It's the same story with China, which Trump has not only made subject to the same metals tariffs but has also threatened with US$50 billion of other sanctions if it doesn't meet a series of demands.

Commerce Secretary Wilbur Ross recently traveled to Beijing hoping to negotiate increased Chinese purchases of American goods and a reduction of its trade deficit with the U.S. He was forced to return empty-handed after the Chinese government declared itself unwilling to act without an American promise to drop its tariff threats. An earlier leak that China would purchase an additional $200 million of U.S. exports turned out to be wildly optimistic.

The United States now finds itself isolated, not only from China but from its strongest allies as well. Is this a temporary step in negotiations, or is it the new normal?

Shifting trade winds

Of course, Trump's proclivity for changing his mind is well-known, but all the same there is an understandable tendency among commentators to focus on the content of his policy choices.

This is especially true on trade, where Trump's protectionist rhetoric has been exuberant, to say the least.

And it is true that Trump's actions have been more anti-trade than those of his predecessors, beginning with his withdrawal from the Trans-Pacific Partnership during the first week of his presidency.

Nevertheless, over the last few months, Trump's trade policy has seemed increasingly erratic. He publicly discussed reentering the Pacific trade deal and just as quickly dismissed the idea. He imposed metal tariffs, immediately granted exemptions to most of America’s major exporters and then withdrew those exemptions three months later. He threatened China with new tariffs on $150 billion worth of exports, then suspended them and risked political capital to save the Chinese corporation ZTE. And after pushing for extraordinary trade concessions from China, he had to take a U-turn after it denied that it had agreed to the most important of those demands.

Two schools of thought

There are two schools of thought about what is driving this policy instability.

Supporters of the president tend to see it as a negotiating tactic, the "Art of the Deal" on a grander scale. Trump, they believe, is trying to throw world leaders off-balance so that he can extract more trade concessions from them.

Trump’s detractors, by contrast, see the president as hopelessly adrift, swayed this way and that by the varying opinions of his advisers. When globalists such as Steve Mnuchin and Wilbur Ross, secretaries of the treasury and commerce, respectively, have his ear, the president softens his stance on trade. But when U.S. Trade Representative Robert Lighthizer and White House adviser Peter Navarro, economic nationalists both, are in the room, Trump doubles down on protection.

Master negotiator?

If U.S. observers accept that Trump's shifting policy is part of a broader negotiating strategy, Americans can perhaps hope for a better outcome than what they see now.

Indeed, there is some basis in game theory for "irrational" behavior as a negotiating technique. Nobel laureate Thomas Schelling, in his 1960 classic "The Strategy of Conflict," pointed out that negotiators with a reputation for overreacting when their demands aren't met can be in a stronger position to extract concessions.

If a country can convince its opponent of its willingness to follow through on threats even when they are self-destructive, the country can more effectively compel changes in behavior. Moreover, if an opponent doubts the ability of a country's leaders to understand or carefully consider the consequences of the opponent's threats, the country is, ironically, in a stronger negotiating position. This "irrationality" approach was famously termed the "madman strategy" by Richard Nixon and played a role in motivating his escalation of the Vietnam War during the Paris negotiations.

Perhaps, then, Americans are witnessing the early stages of a negotiating strategy that will ultimately bear fruit.

Or malleable amateur?

Even in this optimistic scenario, however, the president's approach seems too myopic.

After all, international trade negotiations do not play by the same rules as military diplomacy, where much of this theory was developed. Such techniques might have a greater chance of working with Iran and North Korea, but of course, the risks of escalation here are even more severe.

Trade is different because it is mutually beneficial and also because it requires cooperation that is sustained over time. A country's reputation for stable compliance with its agreements is thus put at a premium otherwise, the country risks being shunned by potential partners. To wrest trade concessions from America's partners may be satisfying, but if it is accomplished at the cost of weakening the world trading system, it is hardly worth the price.

The costs of instability

If, on the other hand, Trump's unstable policy is a symptom of indecision in the face of the competing agendas of his aides, the world economy may be in for a bumpy ride. Irrational behavior can be used selectively as a negotiating technique but has a high cost if not applied carefully and strategically. If a country's negotiating partners doubt its willingness or ability to follow through on its promises, cooperation becomes impossible.

In the final analysis, a stable and rule-based trading system is in the United States' long-term interest. Inconsistent and aggressive trade policies, whether produced by a master negotiator or a malleable amateur, risk poisoning the mutual trust necessary to make such a system function.

Some are now saying that President Trump is in the early stages of reconsidering America's membership in the WTO. Hopefully, the president will come to understand what is at stake soon, before it is too late.

(Charles Hankla is an Associate Professor of Political Science, Georgia State University.)

(This article was originally published on <a href="https://theconversation.com/global">The Conversation</a>. Read the original <a href="https://theconversation.com/trump-could-be-using-advanced-game-theory-negotiating-techniques-or-hes-hopelessly-adrift-97836">article</a>)

(Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

Trump’s renunciation of the Iran nuclear deal, his efforts to renegotiate NAFTA and his intransigent stance on climate change are not helping matters. Nor is his proposal to readmit Russia to the G-7 gathering

By: Charles Hankla* The latest G-7 summit, held June 8 to 9 in Quebec, was one of the most contentious in years. That's because Donald Trump and his counterparts from six other industrialised countries have been at loggerheads over the president's aggressive but unstable trade policy. Trump's renunciation of the Iran nuclear deal, his efforts to renegotiate NAFTA and his intransigent stance on climate change are not helping matters. Nor is his proposal to readmit Russia to the G-7 gathering. But the ink on the G-7 communique wasn't dry before Trump darted to Singapore to meet with North Korean leader Kim Jong Un for nuclear talks, another example of his unpredictable decision-making style. One moment he’s threatening war with the dictator, and the next he’s buttering him up for a summit. One way to understand Trump's foreign policy decisions is to focus on their inconsistency rather than their content. Let's take trade policy as an example. I have written a number of times about the economic dangers of the Trump administration's tilt toward protectionism. And I have pointed to the risk that Trump's use of trade policy as a unilateral weapon could undermine the rule-based international order. I remain worried about these issues, but what has struck me much more deeply in recent days is the seeming inconsistency, indeed instability, of Trump's behavior on trade. It is worth considering its causes and consequences – which extend far beyond trade to his nuclear game of chess with North Korea and Iran. Trouble in Trump trade land First, let's review just a few of Trump's recent trade decisions. At the G7, Trump's belligerent and unpredictable trade policy was the main reason the other leaders – which also include Germany's Angela Merkel, the U.K.'s Theresa May and France's Emmanuel Macron – are so perturbed. Some commentators are even beginning to term the meeting a "G6 plus one" to signify Trump's estrangement from his allies. Recent events have inflamed tensions significantly. The White House said on May 31 that it would impose steel and aluminum tariffs on the European Union, Canada and Mexico. The three had previously received exemptions from the new tariffs, first imposed in March and justified with a little-used national security provision. All are now planning retaliatory tariffs against the United States, along with legal action at the World Trade Organisation. Friends indeed. It's the same story with China, which Trump has not only made subject to the same metals tariffs but has also threatened with US$50 billion of other sanctions if it doesn't meet a series of demands. Commerce Secretary Wilbur Ross recently traveled to Beijing hoping to negotiate increased Chinese purchases of American goods and a reduction of its trade deficit with the U.S. He was forced to return empty-handed after the Chinese government declared itself unwilling to act without an American promise to drop its tariff threats. An earlier leak that China would purchase an additional $200 million of U.S. exports turned out to be wildly optimistic. The United States now finds itself isolated, not only from China but from its strongest allies as well. Is this a temporary step in negotiations, or is it the new normal? Shifting trade winds Of course, Trump's proclivity for changing his mind is well-known, but all the same there is an understandable tendency among commentators to focus on the content of his policy choices. This is especially true on trade, where Trump's protectionist rhetoric has been exuberant, to say the least. And it is true that Trump's actions have been more anti-trade than those of his predecessors, beginning with his withdrawal from the Trans-Pacific Partnership during the first week of his presidency. Nevertheless, over the last few months, Trump's trade policy has seemed increasingly erratic. He publicly discussed reentering the Pacific trade deal and just as quickly dismissed the idea. He imposed metal tariffs, immediately granted exemptions to most of America’s major exporters and then withdrew those exemptions three months later. He threatened China with new tariffs on $150 billion worth of exports, then suspended them and risked political capital to save the Chinese corporation ZTE. And after pushing for extraordinary trade concessions from China, he had to take a U-turn after it denied that it had agreed to the most important of those demands. Two schools of thought There are two schools of thought about what is driving this policy instability. Supporters of the president tend to see it as a negotiating tactic, the "Art of the Deal" on a grander scale. Trump, they believe, is trying to throw world leaders off-balance so that he can extract more trade concessions from them. Trump’s detractors, by contrast, see the president as hopelessly adrift, swayed this way and that by the varying opinions of his advisers. When globalists such as Steve Mnuchin and Wilbur Ross, secretaries of the treasury and commerce, respectively, have his ear, the president softens his stance on trade. But when U.S. Trade Representative Robert Lighthizer and White House adviser Peter Navarro, economic nationalists both, are in the room, Trump doubles down on protection. Master negotiator? If U.S. observers accept that Trump's shifting policy is part of a broader negotiating strategy, Americans can perhaps hope for a better outcome than what they see now. Indeed, there is some basis in game theory for "irrational" behavior as a negotiating technique. Nobel laureate Thomas Schelling, in his 1960 classic "The Strategy of Conflict," pointed out that negotiators with a reputation for overreacting when their demands aren't met can be in a stronger position to extract concessions. If a country can convince its opponent of its willingness to follow through on threats even when they are self-destructive, the country can more effectively compel changes in behavior. Moreover, if an opponent doubts the ability of a country's leaders to understand or carefully consider the consequences of the opponent's threats, the country is, ironically, in a stronger negotiating position. This "irrationality" approach was famously termed the "madman strategy" by Richard Nixon and played a role in motivating his escalation of the Vietnam War during the Paris negotiations. Perhaps, then, Americans are witnessing the early stages of a negotiating strategy that will ultimately bear fruit. Or malleable amateur? Even in this optimistic scenario, however, the president's approach seems too myopic. After all, international trade negotiations do not play by the same rules as military diplomacy, where much of this theory was developed. Such techniques might have a greater chance of working with Iran and North Korea, but of course, the risks of escalation here are even more severe. Trade is different because it is mutually beneficial and also because it requires cooperation that is sustained over time. A country's reputation for stable compliance with its agreements is thus put at a premium otherwise, the country risks being shunned by potential partners. To wrest trade concessions from America's partners may be satisfying, but if it is accomplished at the cost of weakening the world trading system, it is hardly worth the price. The costs of instability If, on the other hand, Trump's unstable policy is a symptom of indecision in the face of the competing agendas of his aides, the world economy may be in for a bumpy ride. Irrational behavior can be used selectively as a negotiating technique but has a high cost if not applied carefully and strategically. If a country's negotiating partners doubt its willingness or ability to follow through on its promises, cooperation becomes impossible. In the final analysis, a stable and rule-based trading system is in the United States' long-term interest. Inconsistent and aggressive trade policies, whether produced by a master negotiator or a malleable amateur, risk poisoning the mutual trust necessary to make such a system function. Some are now saying that President Trump is in the early stages of reconsidering America's membership in the WTO. Hopefully, the president will come to understand what is at stake soon, before it is too late. (Charles Hankla is an Associate Professor of Political Science, Georgia State University.) (This article was originally published on The Conversation. Read the original article) (Disclaimer: The opinions expressed above are the personal views of the author and do not reflect the views of ZMCL)

Opinion: Understanding Trump's negotiating techniques ahead of meeting with Kim

In a sign of the strained bilateral relationship between the two countries, Pakistan has deferred signing the second phase of Free Trade Agreement (FTA) with China at the last moment due to strong reservations over the final offer list shared by Beijing.

"The agreement was almost ready for signing when we conveyed our reservations to the prime minister about the final list of concessions that Beijing shared at 11pm," the Express Tribune quoted Minister of State for Finance Rana Muhammad Afzal as saying on Thursday.

Pakistan and China began the 10th round of negotiations on renewal of an FTA in Islamabad on April 2. This was supposed to be the final round following which both sides were to sign the agreement, several media reports said.

The negotiations were led by Pakistan's Federal Secretary for Commerce Younas Dagha and China's Vice Commerce Minister Wang Shouwen.

As per the report, the decision to delay the agreement was taken after the business community of Pakistan's textile hub Faisalabad voiced serious reservations about the Chinese final offer list.

Pakistan's Commerce Industry revealed that it would offer zero duty on 75% of imported tariff lines prompting fierce resistance from Federal Board of Revenue.

The first FTA came into force in November 2006. Under first phase, Pakistan granted duty concessions on 35 per cent of tariff lines, which resulted in an inundation of the Chinese goods which further crippled the local industries.

Under the second phase, China was seeking certain concessions which Pakistan was not willing to grant.

Pakistan and China started negotiations on the second phase of the Pak-China FTA in 2011.&nbsp

At the moment, Pakistan's major exports to China include raw materials and semi-finished textile goods like cotton yarn, skin.

(With inputs from ANI)

 
&nbsp

Pakistan has deferred signing the second phase of Free Trade Agreement (FTA) with China at the last moment due to strong reservations over the final offer list shared by Beijing

In a sign of the strained bilateral relationship between the two countries, Pakistan has deferred signing the second phase of Free Trade Agreement (FTA) with China at the last moment due to strong reservations over the final offer list shared by Beijing. "The agreement was almost ready for signing when we conveyed our reservations to the prime minister about the final list of concessions that Beijing shared at 11pm," the Express Tribune quoted Minister of State for Finance Rana Muhammad Afzal as saying on Thursday. Pakistan and China began the 10th round of negotiations on renewal of an FTA in Islamabad on April 2. This was supposed to be the final round following which both sides were to sign the agreement, several media reports said. The negotiations were led by Pakistan's Federal Secretary for Commerce Younas Dagha and China's Vice Commerce Minister Wang Shouwen. As per the report, the decision to delay the agreement was taken after the business community of Pakistan's textile hub Faisalabad voiced serious reservations about the Chinese final offer list. Pakistan's Commerce Industry revealed that it would offer zero duty on 75% of imported tariff lines prompting fierce resistance from Federal Board of Revenue. The first FTA came into force in November 2006. Under first phase, Pakistan granted duty concessions on 35 per cent of tariff lines, which resulted in an inundation of the Chinese goods which further crippled the local industries. Under the second phase, China was seeking certain concessions which Pakistan was not willing to grant. Pakistan and China started negotiations on the second phase of the Pak-China FTA in 2011. At the moment, Pakistan's major exports to China include raw materials and semi-finished textile goods like cotton yarn, skin. (With inputs from ANI)

Pakistan defers signing FTA-II with China over reservations

China&#39;s attempt to increase its economic and military might in the Indian Ocean came to light once again with East Asian nation&#39;s plan to establish a Joint Ocean Observation Station in the Maldives.&nbsp;

The joint ocean observation station which China is looking to establish in the Maldives could prove to be another security challenge for the Indian government with the Maldivian opposition leaders claiming that the observatory will also have a military application with provision even for a submarine base.

The observatory location in Makunudhoo, the westernmost atoll in the north (not far from India), will allow the Chinese a vantage point of an important Indian Ocean shipping route through which many merchants and other ships pass, said political sources in Male. It will be uncomfortably close to Indian waters and test red lines with regard to ties with the Maldives.

Indian officials confirmed that an official agreement titled Protocol on Establishment of Joint Ocean Observation Station between China and the Maldives was finalised last year around the time the countries also controversially signed a Free Trade Agreement (FTA).&nbsp;

They, however, said they&#39;ll have to check the specifics of the agreement before offering a comment.

The joint ocean observation station which China is looking to establish in the Maldives could prove to be another security challenge for the Indian government

China's attempt to increase its economic and military might in the Indian Ocean came to light once again with East Asian nation's plan to establish a Joint Ocean Observation Station in the Maldives. The joint ocean observation station which China is looking to establish in the Maldives could prove to be another security challenge for the Indian government with the Maldivian opposition leaders claiming that the observatory will also have a military application with provision even for a submarine base. The observatory location in Makunudhoo, the westernmost atoll in the north (not far from India), will allow the Chinese a vantage point of an important Indian Ocean shipping route through which many merchants and other ships pass, said political sources in Male. It will be uncomfortably close to Indian waters and test red lines with regard to ties with the Maldives. Indian officials confirmed that an official agreement titled Protocol on Establishment of Joint Ocean Observation Station between China and the Maldives was finalised last year around the time the countries also controversially signed a Free Trade Agreement (FTA). They, however, said they'll have to check the specifics of the agreement before offering a comment.

China's ocean observatory in Maldives sparks fresh security concerns for India

President Xi Jinping&rsquo;s position before and after the 19th National Congress of the Communist Party of China has a very little direct impact on India. Notwithstanding Xi&#39;s boastful speeches to his captive audience&nbsp;at the conference, there is not much change in the stance and drivers steering China &ndash; India relations.

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<h5>India is unlikely to join&nbsp;BRI or CPEC, even if he has included it in the Chinese constitution.</h5>
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Evidently, there is no appreciable change in the areas of convergence and divergence in the national interest of two countries. India is unlikely to join&nbsp;Belt and Road Initiative (BRI) or China&ndash;Pakistan Economic Corridor (CPEC) even if Xi has included these in the Chinese constitution. These initiatives are seen as no worth to India and clearly as violating Indian sovereignty.

Rather, indirect factors may cause a major difference for India. For instance, some of our common neighbours may give in to the more aggressive &lsquo;Purse diplomacy&rsquo; of China or may even get coerced into accepting it. Maldives signing free-trade agreement (FTA) with China, land grabbing efforts of China in Sri Lanka, Bangladesh, Myanmar, Nepal and Pakistan are few such examples affecting Indian security adversely, which India needs to work on.

With a greater possibility of facing an aggressive, unchecked Xi Jinping, India needs to work on enhancing hard as well as soft power. China&rsquo;s strategic leveraging of water sources by diverting it or flooding it (being upper riparian country) is a new threat to South Asia, which India needs to be prepared for.

When President Trump indicated his enthusiasm to work with India to improve capabilities of Indian military on the sidelines of the&nbsp;ASEAN summit, it has some positive message for India, because no nation has ever become a recognisable power in global history without a strong military. Besides ongoing efforts to strengthen Indian military, we also need to increase the pace of infrastructure development on the borders and Northeastern region.

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<h5>India is better located to be the hub of global sea lanes with lesser choke points.</h5>
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On the diplomatic side, we need to not only &lsquo;Act East&rsquo; but &lsquo;Act West&rsquo; also. India is better located to be the hub of global sea lanes with lesser choke points on either side, and is working towards this capability to provide an alternate model of global connectivity like Asia- Africa Growth Corridor connecting further West.

The inauguration of Chabahar port in Iran, with an opportunity to connect with Afghanistan, CAR, and further West carries the message that determined nations will find its way even if blocked by adversarial designs. If India could stand up to China to protect its strategic choices during Doklam episode, I am sure that it can do the same in future as well, on its own strength. Any leverage we derive from friendly countries/groupings/strategic partnerships/alliances should be treated as a bonus.

(Disclaimer: The author writes here in a personal capacity).

If India could stand up to China to protect its strategic choices during Doklam issue then it can do the same in future as well, on its own strength

President Xi Jinping’s position before and after the 19th National Congress of the Communist Party of China has a very little direct impact on India. Notwithstanding Xi's boastful speeches to his captive audience at the conference, there is not much change in the stance and drivers steering China – India relations. India is unlikely to join BRI or CPEC, even if he has included it in the Chinese constitution. × Evidently, there is no appreciable change in the areas of convergence and divergence in the national interest of two countries. India is unlikely to join Belt and Road Initiative (BRI) or China–Pakistan Economic Corridor (CPEC) even if Xi has included these in the Chinese constitution. These initiatives are seen as no worth to India and clearly as violating Indian sovereignty. Rather, indirect factors may cause a major difference for India. For instance, some of our common neighbours may give in to the more aggressive ‘Purse diplomacy’ of China or may even get coerced into accepting it. Maldives signing free-trade agreement (FTA) with China, land grabbing efforts of China in Sri Lanka, Bangladesh, Myanmar, Nepal and Pakistan are few such examples affecting Indian security adversely, which India needs to work on. With a greater possibility of facing an aggressive, unchecked Xi Jinping, India needs to work on enhancing hard as well as soft power. China’s strategic leveraging of water sources by diverting it or flooding it (being upper riparian country) is a new threat to South Asia, which India needs to be prepared for. When President Trump indicated his enthusiasm to work with India to improve capabilities of Indian military on the sidelines of the ASEAN summit, it has some positive message for India, because no nation has ever become a recognisable power in global history without a strong military. Besides ongoing efforts to strengthen Indian military, we also need to increase the pace of infrastructure development on the borders and Northeastern region. India is better located to be the hub of global sea lanes with lesser choke points. × On the diplomatic side, we need to not only ‘Act East’ but ‘Act West’ also. India is better located to be the hub of global sea lanes with lesser choke points on either side, and is working towards this capability to provide an alternate model of global connectivity like Asia- Africa Growth Corridor connecting further West. The inauguration of Chabahar port in Iran, with an opportunity to connect with Afghanistan, CAR, and further West carries the message that determined nations will find its way even if blocked by adversarial designs. If India could stand up to China to protect its strategic choices during Doklam episode, I am sure that it can do the same in future as well, on its own strength. Any leverage we derive from friendly countries/groupings/strategic partnerships/alliances should be treated as a bonus. (Disclaimer: The author writes here in a personal capacity).

Opinion: What does Xi's autocratic position mean for India?