00:00And there is a big breaking news coming in as we were telling you earlier about the UK free trade deal.
00:08So India and UK have signed this deal.
00:11Right now we are getting this information.
00:13India and UK have signed on this deal.
00:15This is the largest agreement Britain has signed since leaving the European Union which is Brexit.
00:22So now we know for a fact that this deal has been inked.
00:26It's going to benefit both the countries mutually not just India but also UK.
00:32UK also stands to gain a lot from this deal.
00:36India of course will get some products from UK which were earlier on a very high duty scale.
00:43Tariffs are being cut down for the UK companies and India also gets access to markets in UK.
00:50And also importantly this is almost 34 billion US dollar deal.
00:59How is it going to impact the relationship between the two countries?
01:02How is it going to impact the trade in the two countries?
01:06How is it going to impact the economies of the two countries?
01:09This is something which is very important.
01:12It is a historic trade deal.
01:14India and UK after the meeting of the two Prime Ministers and the visuals as you see on your screens were released to the media.
01:24After this meeting India and UK have signed on the free trade agreement as was expected.
01:33In fact this was the single most key element of this visit that the Prime Minister has undertaken while the monsoon session is undergoing.
01:44He has undertaken this two nation tour of which first is UK, the second is Maldives.
01:50But this was the single most important thing that was on the agenda.
01:53After this he will be meeting with the monarch that is the King Charles III.
01:58He will have a meeting with him.
02:00But before that the pact between India and UK has been signed.
02:05There are multiple things that come into this ambit.
02:08Firstly let's talk about the UK industry.
02:11Well in terms of the UK industry they are going to benefit quite a bit because a lot of things which were taxed in double digits are now down to single digits.
02:23Something like the automobiles.
02:24In fact there were reports in multiple newspapers that said that many people who were planning to buy the luxury vehicles that come from UK.
02:34You know the super luxury vehicles have put their buying on hold because this is going to significantly impact this.
02:41Remember if a car is worth crores then a reduction in the duty from let's say 15% to 3% means a huge amount.
02:51So currently what we know is that the deal has been signed.
02:55It is involving a multitude of sectors between India and UK.
03:03And we will be bringing you more details of this deal in a few moments from now.
03:09Okay so let me tell you a little bit more about what is happening between India and UK.
03:22There was a meeting between the Prime Minister, the two Prime Ministers of the two countries.
03:29We see the visuals of the meeting and then afterwards we have received this news that yes the deal has been signed.
03:38Joining me now is editor of India Today Global Pranay Upadhyay.
03:43Pranay finally the historic deal has been signed.
03:47Do tell our viewers point by point how is it going to impact the two countries and especially India.
03:53Definitely you rightly use the word of this deal being very historic indeed Anjali because these visuals will remain in the history because India and the United Kingdom because we have a colonial past.
04:10We have a history of the trade relationship and like you know India has a very bitter past of dealing in terms of business with the United Kingdom in past.
04:19But now it was UK who wanted to deal to have this FTA with India which is a growing and a fastly moving rapidly growing economy.
04:27And UK and India negotiated this deal over the course of three years and now finally the moment has come.
04:34This historic visuals of Chequers House which is the country residence for British Prime Minister, their Prime Minister Narendra Modi and British Prime Minister Kaira Steinberg had a meeting.
04:44And after that the Indian Commerce Minister Piyush Goyal along with his British counterpart Mr. Raymond signed this FTA and now this FTA will have to be ratified by the British Parliament because that is the constitutional requirement in UK.
04:59So you know this enforcement of this FTA might take some time but now the legal provision of an FTA is there.
05:06And let me take you through the various sectors which will get benefited especially in terms of the Indian economy.
05:13So the biggest beneficiary of it would be the textile sector.
05:16You know that India's textile sector is a huge sector which accounts for around 1143 tariff lines and which contributes around 11.7%.
05:27And this trade, this textile sector will now get the zero tariff duty in UK market.
05:35Besides that you know in terms of the leather and footwear products that will also get a zero excess.
05:42Most of the 99.7% of the tariff lines are covered under this FTA Anjali.
05:47And from 70% the highest tariff for any Indian product which was reduced after this FTA will be from 70% to 0%.
05:59So you can imagine you know what greater excess, what wider excess will be available for Indian products in the UK market after this FTA.
06:07So one can make out you know besides that the agriculture product, the zero duty market excess will be there for the Indian spices.
06:16You know India is a great and a big producer of spices.
06:20So Indian turmeric, Indian cumin and Indian products, Indian agri especially the spices will get a better and a greater excess in UK market.
06:28Besides that Indian food processing industry will also be a bigger big beneficiary after this FTA in terms of the market excess in UK.
06:36UK is one of the large economies, one of the prominent G7 economies and also let me also make this point here Anjali as we were discussing that India has also managed to safeguard the interest of the agri products especially in terms of the dairy, especially in terms of the oil seed because India did not have to reduce the tariff lines for the UK products.
06:59So that is that remains our core concern that is a win for India in terms of getting a better and a greater market access in UK and safeguarding the own products as well.
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