UKIBC chair Richard Heald said commitment of both governments can help businesses to plug into and support Aatmanirbhar Bharat.
About 77% of UK companies believe that Aatmanirbhar Bharat is an opportunity for them to do more business with India, according to a survey conducted by the UK India Business Council (UKIBC) at a time both countries have agreed to begin negotiations for a free trade agreement.
“A minority of businesses did however view the policy as protectionist at a time when open economies are critical to growing trade and investment flows,” UKIBC said in a report titled “Road to a UK-India FTA: Enhancing the partnership and achieving self-reliance”.
UKIBC chair Richard Heald said commitment of both governments can help businesses to plug into and support Aatmanirbhar Bharat, or Self-Reliant India. “We, at the UKIBC, believe that greater cooperation and collaboration between our two countries will help India to achieve self-reliance and the UK to gain a strong and sustainable economic relationship with India,” he added.
The report recommends a sharp focus on innovation and on digital and data sectors; and an assertion that while self-reliance is pragmatic, especially in a post-pandemic world, India should remain open to free and fair trade. The report also stresses that India’s state governments are critical in attracting investment and have important roles to play in enacting strategic policy reforms.
UKIBC managing director Kevin McCole said India, in its self-reliant campaign, is aiming to play a greater role in manufacturing supply chains. “This is the right ambition, and certainly plays to India’s strengths. To succeed, I think India will need to be an import as well as an export hub as components flow from all over the world. So keeping tariffs and other barriers to entry low or indeed removing them, will really help India to achieve its objective. It is important that openness is maintained between the UK and India if the Enhanced Trade Partnership is going to meet the commitment made by Prime Ministers Modi and Johnson on 4th May to double bilateral trade by 2030,” he added.
