Dear Constituent,
Thank you for contacting me about trade negotiations with India.
A UK-India FTA would be a substantial opportunity for both of our economies and a significant moment in our bilateral relationship, which ministers across Government are working hard to strengthen in the decade ahead. I am encouraged that trade negotiations are underway, with the fifth round of talks concluding on 29 July 2022.
India is one of the world’s biggest and fastest-growing economies and a bold FTA would put UK businesses at the front of the queue to supply India’s growing middle class, forecast to increase to a quarter of a billion consumers by 2050. By which time, India will be the third largest economy in the world, with a bigger population than the US and EU combined.
The size and growth of the Indian economy means a deal would unlock opportunities in every nation and region of the UK and across all parts of our economy. Tens of thousands of UK jobs are already supported by trade with India, and an FTA has the potential to almost double UK exports to India, boost our total trade by as much as £28 billion a year by 2035, and boost wages across the UK by as much as £3 billion.
Enviornmental Protections and Animal Welfare
The Government has been clear that maintaining the UK’s high standards is a red line in all its trade negotiations. There will be no compromise on environmental protection, animal welfare or food standards, and the UK's agreement with India will include safeguards for our agriculture industry. These are Conservative Party manifesto commitments and have my full support.
This also includes not compromising on standards concerning pesticides. Ministers are clear that all future trade agreements, including a UK-India FTA, will respect the UK's regulatory autonomy. Decisions on standards, including on pesticides, will remain a matter for the UK Government and the devolved administrations. Pesticides that carry unacceptable risks to people or the environment will not be authorised.
Section 42 of the Agriculture Act 2020 establishes the duty for the Secretary of State for International Trade to report to Parliament on whether, or to what extent, measures in new free trade agreements are consistent with maintaining UK levels of statutory protection in relation to human, animal or plant life or health, animal welfare and the environment.
An independent Trade and Agriculture Commission has also been established and placed on a statutory footing by the Trade Act 2021. The Commission works to scrutinise free trade agreements and report on how they are consistent with UK law on animal welfare, the environment, and animal and plant health.
Safeguarding our NHS
The Government ran a consultation on its intent to negotiate an FTA with India in 2021 to help determine its negotiating priorities and to allow business, NGOs and the public to have their say. On 13 January, the Government published its negotiating strategy, informed by the 283 responses received to the consultation which you can read here: UK approach to negotiating a free trade agreement with India - GOV.UK (www.gov.uk)
Protecting the NHS is a fundamental principle of the UK's trade policy. In any trade deal, including with India, the Government has been clear that the NHS, the price it pays for drugs and the services it provides to be patients will not be on the table. No trade agreement could change the fact that it is for the UK government and devolved administrations to decide how to run our health services.
Naturally, the HMG will only agree a deal that is in the best interests of the British people and the economy.
Scrutiny of the Deal
I completely agree with you that meaningful transparency and scrutiny throughout negotiations is crucial to securing the best trade deals for the UK. Since Brexit, the Government has put in place extensive parliamentary scrutiny arrangements prior to trade agreements being signed, including by publishing its negotiating objectives and scoping assessments ahead of trade negotiations, and by making regular statements to Parliament.
Looking forward, once the FTA has been signed, the Constitutional Reform and Governance Act (2010) provides the legislative framework by which this international agreement will be scrutinised by Parliament. Under the Act, the Government must lay the FTA before Parliament for 21 sitting days and provide explanation of the treaty's provisions and the reasons for seeking ratification. If Parliament is not willing to support the FTA, it can resolve against ratification and indefinitely delay any primary or secondary legislation which would implement it.
Thank you again for taking the time to contact me.
Sincerely,
