India Commerce Minister on Trade Talks, Economy, Visas

Bloomberg

2 days ago

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00:00Let me start by asking you about Indian businesses. You've managed doing some really key concessions, especially on the National Insurance payments front. Are you hearing from companies that they want to increase investments in the UK as a result? And if so, where? Well, I think immune business is very excited that we have got the free trade agreement in place. We've got the double contribution convention in place. Indian businesses have been very bullish on the UK and if one looks at the investments flowing in from India to UK, it's tied more than the other way round. So I think this will also encourage greater investments because of the stable and predictable environment, business environment. It will also open the doors for more robust and resilient supply chains. It will ensure that we can both work as trusted partners, expanding trade in goods and services. I think Prime Minister Narendra modi and Prime Minister Starmer both very clearly recognise and articulated today that this is a milestone and historic achievement which will hold good stead as redouble our trade as we grow our jobs in both countries. It's a win win for both. You can India or any big Indian conglomerates already planning that expansion? I think we saw, for example, the party group become the single largest investor in British Telecom. Yeah, clearly a sign that there is trust between businesses on both sides. In fact, they're also a major part of the one that you're aware that many pharma companies, many I.T. companies already have a significant presence in the UK, companies working on pesticides and chemicals. And very many sectors are looking at the UK as a possible centre, both for goods and services. The other talks were, of course ongoing on the bilateral investment treaty. Can I ask what are the sticking points remaining on that? Sessions happened in the negotiating room. We don't discuss that in the media, but I do hope we will get that also across the Council. And are there any concern, especially for Indian generics makers or in terms of dumping from India that are still there or have those all been resolved? Well, in fact, we were being wrongly. Classified as a country which had any problems with our patent and our IP regime. Yes, we were able to have very, very good discussions with the pharma companies, with all the stakeholders, both in India and in other parts of the world. Concerns that came to our attention, which merited any change, have been addressed, and it has given a big boost to patent filing faster clearances. In fact, in the last two years, we've done nearly 160,000 patents being issued, so much so that we don't have much of a backlog left anymore. And I think we've been able to create a trusted atmosphere with fast track clearances, and we now have a robust intellectual property rights chapter, both with Switzerland and the UK, two countries which always used to be at the forefront of innovation and had earlier expressed concerns. So you would appreciate that. Now we have a good Segway on IPR also with the advanced and developed economies, and we do believe that we will see a lot of innovation happening in India in the years to come. And do you see this deal as a template for the deals that you're looking to in with the US, for instance, starting with, you know, one of the questions, if I may ask, is on visa access, because that is something that came up a lot in the trade agreement. I don't think so. That's completely wrong propaganda that's been discussed in the United Kingdom. I have often said on the record that free trade agreements are not about immigration. Now, of course, business visas to further providing goods to do business or to provide some service in the short term is a different matter. And unfortunately, the debate in the UK went into the wrong direction. I'm glad that now more and more clarity is coming to everybody. This was never about immigration. It was about free trade, both in goods and services. It does open up a plethora of opportunities for businesses on both sides and will be great. It will be a win win for the UK, as much for India. And you know, President Trump is in the UK this weekend. How were the negotiations with the US going? Do you see those happening by August 1st? Will be a very robust negotiations going on with several countries, with the United States, with the European Union and with New Zealand, with the Peru, Chile and USA. Slightly more significant. There are significant and of course I've had some wonderful engagement with my friend and colleague from the US, the Commerce Secretary, Mr. Howard. The United States Trade Representative, Ambassador Jamison Greer, are both very dear friends and I'm sure they are looking at the great business with the United States in the years to come. And you know, this thing President Trump has said of an extra 10% tariffs on BRIC nations, tariffs on countries that are importing oil from Russia. Are those sticking points at all? I don't think there is any sticking point in our relationship or negotiation with the United States, and it's making good progress. And you're confident in terms of given the clock is ticking there as well? Well, I'm always confident. I'm curious also. You know, one of the things has been it seems like there's a thaw in trade relations between India and China, two of the big global economies. How do you see that? And, you know, what's your outlook for there? Well, I think China is a large economy and they have trading relations across the world. There have also been in dialogue with the United States. They're doing significant work with your country in the UK and the European Union. And India has always stood for fair play. And that is what we are looking to achieve with all our trading partners. I think whoever plays by the trade rules or for open trade gives equal access to Indian goods and services, helps us develop our economy to become a developed economy by 2047, which is Prime Minister Narendra modi's vision for the country. Will be willing to work with all such countries. And what do you see next after this really successful one? You know, you spoke about the US. Is the EU next? What can we be expecting? Well, I think all the trade negotiations are important and they are all moving along very fast, very well. I'm in continuous dialogue. I was just exchanging messages with the EU Agriculture Commissioner a few minutes back. So it's a continuous process, particularly given the time zones are different all over the country. I think it's a round the clock effort also. What do you in the UK coming back to? It was the biggest concession. You know, these trade negotiations have gone on for more than three years, successive governments. What was the biggest concession that you think really swung it? I don't think there's anything big or small. A trade deal is always a comprehensive package. And you always balance different elements of a deal. In this particular transaction also, and it's one of the most comprehensive trade deals ever. It does. Then it took the chapters more than we've had in any other trade deal. So I think it's a holistic, comprehensive agreement. And very often you balance instead of one against the other. You don't literally pick up one as the most important of the other is less import. Absolutely. How are you feeling now with the middle of the year? You know, this new government has done something. This deal was the first in a decade that India has done at this scale. You know, what is India's outlook when you're looking at the global economies and its new position in the world? After Prime Minister Modi came into government, the first stop, the Regional Comprehensive Economic Partnership, which was an agreement with the effectively with the non-market economies. So, you know, we already had a free trade deal with the ASEAN region and with Japan and Korea, Australia and New Zealand. We could have bilaterally and we've already now completed it with Australia. We're in dialogue with New Zealand. So if I didn't, it would have been a free trade deal with China. So I think it was important to stop that because that would have hurt India's manufacturing prowess. Having said that, Prime Minister Modi is focused on free trade deals with advanced and developed economies. We've concluded one with Australia, with the United Arab Emirates and Mauritius, with the full bloc after countries Switzerland, Norway. Let's then stay in and I said the amount that the United Kingdom, in active dialogue with you, with the U.S., with Peru, Chile, we've concluded discussions with Oman. So India has now changed track and is engaging with the larger and the more consequential partnerships which will help India in its journey to becoming a developed nation. And sorry, just one clarification on the US, because you mentioned look, Nick in Korea is I'm just wondering, is Scott Bessant not involved in those negotiations as negotiations are with the Commerce Secretary and the USGA? Okay. And you said visas for Indian workers, which has been a big issue. I mean, in the US, that is not part of the talks. H1-B visas for Indian workers. I think most current H-1B visas is not an Indian issue at all. A lot of people realize that you can do great amount of work from home, so you can do a great amount of work from third countries. So frankly, in the last four years, nobody has come to me with the problem about it to be visas. So that's no longer an issue, no more an issue. And it's not even we've not discussed that even once in our dialogues. Okay. Well, Minister, thank you so much for taking the time. Thank you.