By Alistair Smout
MUMBAI (Reuters) -Indian Prime Minister Narendra Modi and British counterpart Keir Starmer hailed the potential on Thursday of their months-old trade deal to transform commercial links, as London unveiled further Indian investment in Britain.
Starmer is in the financial capital of Mumbai on a two-day visit to India, joined by more than a hundred leaders from the business, culture and university sectors, as he rushes to harvest the trade deal signed in July.
The deal agreed to cut tariffs on goods from textiles to whisky and cars, and allow more market access for businesses in the world’s fifth- and sixth-largest economies, aiming to boost two-way trade by a further 25.5 billion pounds ($34 billion) by 2040.
Starmer’s visit, accompanied by the largest-ever business delegation, “reflects the new energy and broad vision” in the partnership, Modi said after talks with the British prime minister.
“India’s dynamism and the UK’s expertise together create a unique synergy,” Modi said, speaking in Hindi.
“Our partnership is built on trust … it is a clear reaffirmation of our shared commitment to … build a brighter future for the people of both our nations.”
Starmer said the focus of his visit was about doubling down on the potential of the trade deal, expected to take effect within a year.
“When we leave India tonight, I expect that we will have secured major new investments creating thousands of high-skilled jobs in the sectors of the future.”
Starmer also backed New Delhi’s long-running desire to become a member of the United Nations Security Council, saying India should take up its rightful place there.
The leaders gave few specifics but listed cooperation in technology, education, defence and security, AI and advanced communications as areas of special focus.
Earlier, Starmer’s office said 64 Indian companies would collectively invest 1.3 billion pounds ($1.75 billion) in Britain, without elaborating.
Both leaders are set to participate in a financial technology conference on Thursday before Starmer flies home.
The trade ministers of both countries agreed in a meeting on Wednesday to work more closely in sectors such as advanced manufacturing, digital trade, clean energy and services, India’s commerce ministry said in a summary.
But they do not agree on everything.
After Modi wished Russian President Vladimir Putin a happy birthday on Tuesday, Starmer joked to reporters that he would not be doing the same, given Britain’s strong backing for Ukraine and condemnation of Russia over its invasion.
Britain says it respects India’s strategic independence and Scottish Secretary Douglas Alexander, a former trade minister who joined the delegation, told reporters the issue had not prevented Starmer from leveraging close ties with Modi to grow the UK economy.
($1=0.7444 pounds)
(Reporting by Alistair Smout in Mumbai, Manoj Kumar and Sakshi Dayal in New Delhi; Writing by YP Rajesh; Editing by Clarence Fernandez)
