The final acceptance of the historic Free Trade Agreement (FTA) between India and Britain has not only created a stir in the global trade world, but has also given a new direction to India’s economic future. The economies of both countries will finally benefit from the free trade agreement between the two countries. The way protectionism has increased in the last few years, the role of such business agreements becomes even more important. With this agreement, Prime Minister Narendra Modi has shown not only America but also other countries of India’s strong status, which is a sign of his far -reaching and diplomatic politics. The agreement can be seen in the current era as a better and understandable diplomatic success between the ongoing multi -level tension, pressure and politics of Dadagiri. It is not hidden that the President of America created a big duality and crisis on the fee front. But India has discovered new avenues instead of jumping in the midst of this duality. Certainly, this Cast Economic and Trade Agreement (CETA) is not just a paper agreement, but a concrete strategy to embodiment the dream of ‘Developed India 2047’. While this agreement ends 99 percent tariffs and will give new flights to labor-dominated areas like textiles, leather, sea products, agriculture and gems-jewelery, on the other hand, small enterprises, fishermen and farmers will be identified on the global stage. Products like turmeric, pulses, pickles from rural areas of India will now spread their smell in the British markets.
This agreement is the result of the way the Modi government emphasized on quality, competition and transparency in the last decade. It also proved that now India has become a decisive power, not only a market, which communicates with the world, protecting its interests. This agreement is not limited to trade, it opens new doors for Indians even in sectors, education, financial services, investment, social security, and dual taxation. This is a message of relief, especially for Indian professionals working in Britain, who will be exempted from social security contribution. This agreement is also important because India has not accepted to bow down in front of any pressure created by the US and has taken steps towards raising new options like India-Britain and strengthening the old.
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This FTA with Britain is an example of how India can make justified and inclusive trade agreements, neither its farmers, nor dairy sectors or small producers. India has upheld its policy of self -sufficiency and food security by keeping sensitive areas out of agreement. Currently, India’s global trade is around $ 21 billion, which is likely to reach $ 120 billion by 2030 after this agreement. This will not only attract foreign investment, but will also help India’s manufacturing stake from 17 percent to 25 percent. With this agreement, the Modi government has proved that when planned approaches, global reputation and adventure decisions, developing countries like India can also become decisive on the global stage.
A new economic sun has emerged from India and Britain coming into existence, which will create many advanced nation-building opportunities including employment. The CETA concept is in line with free trade agreements with Australia, United Arab Emirates and some other countries. This is a part of the Modi government’s concept of concept to develop India by 2047. The Modi government has adopted a firm strategy to re-establish global confidence in the Indian economy, adding new wings to its resolve to make India a third major economy and to make it attractive to Indian and foreign investors. FTA with developed countries is at the center of this strategy. Such agreements increase the trust of investors by removing uncertainties related to trade policies. The previous UPA government had adopted a threating attitude to Indian businesses by opening India’s business doors to rival countries, but the big mistakes of the past are being improved, which is the basis of new India-developed India.
This deal is very important in terms of Modi’s Made in India resolution. This will provide relief from tariffs on about 99 percent exports i.e. things going from here to Britain. Similarly, things that come from Britain will be able to get cheaper in India. Due to which the common people will be accessible cheaply to the common people and there will be a widespread improvement in the standard of living. The deal will have a major benefit to textiles, leather and electronics. These will promote manufacturing. At present, India holds only 2.8 percent stake in global manufacturing, while China’s 28.8 percent. Similarly, manufacturing contributes 17 percent to the country’s GDP and the government wants to increase it by 25 percent. Such a deal will improve performance at both national and international levels. There will also be widespread benefit from the point of view of upgrading the agricultural sector and more product. For this, India’s talks are also going on with America. But there is tug of war about agriculture and dairy products. America wants open exemption in both these regions, while India cannot do this in view of the interests of its people. The free trade with Britain will boost India’s agricultural industry.
Revolutionary reforms, innovation, technology, business ease and the Prime Minister’s global personality has helped India to rise as an economic sun, where there are vigorous possibilities. Today the world is looking at India with hopeful eyes and wants to be a part of India’s amazing developmental. FTAs one after the other by major countries confirm this recognition. This trade agreement with Britain will give market access and competitive lead. Under the leadership of Prime Minister Modi, India’s FTA goes far beyond goods and services to cultural exchange and civil interests. India along with the Australian FTA resolved the issue of double taxation, which was increasing the problems of IT companies. An important point of agreement with Britain is associated with double contribution. It exempts employers, temporary Indian personnel in Britain from social security contribution for three years. This will increase the competition of Indian service providers. Indians living in Britain will now get many facilities.
Since 2014, India has made free business agreements with Mauritius, UAE, Australia and EFTA. EFTA means European Free Trade Association. It is a regional trade organization and the free trade sector including four European countries- Iceland, Lichenstein, Norway and Switzerland. Negotiations with Europe are going on, which should be transported as soon as possible. Such agreements will be helpful in dealing with the challenges faced on the economy front. Meanwhile, if India has a good trade deal with America, then it will move towards fulfilling the resolve of developed India. But compromise with Britain is not just business, but a future creation. It empowers agriculture towards prosperity, expansion of industry, opportunity to youth, and India to become a developed nation. Certainly, where markets are formed, policy is formed the foundation of the future. India and Britain will listen to this agreement, now India’s echo!
– Fine Garg
Writer, journalist, columnist
(The author has his own views in this article.)