India to unveil new Foreign Trade Policy 2023-28 today

NEW DELHI: India is set to unveil its much-awaited new Foreign Trade Policy 2023-28 today, with a view to boost exports amid slowing global trade.

Union commerce and industry Minister Piyush Goyal will announce the foreign trade policy, according to the ministry. The current foreign trade policy (2015-20) is in force till March 31, 2022.

The term of the previous five year policy had ended in March 2020. However, it has been extended repeatedly in wake of Covid outbreak and resulting lockdowns.

The last extension was given in September 2022 till March 31, 2023. Goyal will announce the foreign trade policy which is expected to outline the vision statement for taking India’s goods and services exports to $2 trillion by 2030.

The country is likely to end this fiscal year with total exports of $760 billion as against $676 billion in 2021-22.

India’s trade has been hit by supply chain disruptions and slowdown in global trade amidst ongoing Russia-Ukraine war.

Sources said the new policy is likely to incorporate WTO-compliant export promotion measures.

Goyal said amidst all the economic challenges faced by many countries, India is the bright spot, which almost everybody recognises and respects. Meanwhile, amid a diplomatic row following protests by secessionist groups near the Indian mission in London, Goyal, on Thursday, said talks on a Free Trade Agreement with the UK are continuing. Talks are “going on very well” with the UK, Goyal said, adding, “trade stands on its own legs”.

The Union Minister, however, made it clear that India will take into consideration respect for her sovereignty and territorial integrity, and will not tolerate any interference in her Indian affairs.

When asked about the impact of the ongoing events on the trade agreement, Goyal seemed to suggest that negotiations continue.

“I can assure you that talks are going on very well with the UK, Canada, with the EU countries, we are also in dialogue with Israel,” he told reporters in Mumbai.

Goyal said there was no deadline to have an FTA with the UK, but a former PM of the country has announced an aspiration to conclude before Diwali of 2022.

“...we are back at the negotiating table, both sides are discussing at the official level,” he said.

Goyal said there is a high interest for FTAs with India shown by many countries, and discussions are on at a “frenzied pace” with many countries, and quipped that he is not left with the bandwidth to discuss such agreements.

Meanwhile, Goyal also said talks are also on with the European Free Trade Association (EFTA), following a request from four ministers of the grouping to meet the Indian commerce and industries minister.

“They have assured me that they will be coming with very attractive proposals in terms of opening up services and a deeper understanding of India’s own concerns around our patent laws and the need to protect our domestic industry,” Goyal said.

On a query on rupee trade with partners, and if the same is being pushed with G-20 countries during the ongoing meetings of the grouping’s trade and investment group in the financial capital, Goyal said this subject is more of a bilateral subject, which is anchored by the RBI and the Ministry of Finance.

He added that many countries have evinced interest in having such an arrangement with India.