What’s happening with the UK-India free trade deal?

India and UK's ambitious free trade deal is reportedly on the verge of collapse, thanks to a few loose lips in UK PM Liz Truss's government. The trade deal was supposed to be sealed by October, but the deadline has been missed. Now, a Diwali deadline also seems to be in trouble. 

Recap: The India-UK free trade deal was launched in January 2022. 

• If finalised, it will be the biggest and most ambitious for India which has the reputation of being difficult on trade deals. 
• For the UK, sealing the deal will fulfill the promise by the Tories that Britain can ink deals independently outside the ambit of the EU after Brexit. 
• If the deal falls through, there is no win situation for any parties involved. 

So, what happened? The latest issue threatening the deal is UK Home Secretary Suella Braverman's comments on immigrants from India. 

• Braverman, when talking about the India-UK trade deal, said that she had reservations about it. 
• She said, "Look at migration in this country - the largest group of people who overstay are Indian migrants."

• Reports say the Indian government is MAD over the remarks. The Indian government has also reportedly urged PM Truss to distance herself from the statements. 

India's immigration numbers to the UK: In 2020, around 20,000 Indians overstayed their visas. It was the highest compared to other nationalities. 

• However, in terms of proportion, other nationalities report more overstayers. Out of the 473,600 Indians whose visas expired by March 2020, 452,894 had left. Only, 4.4% of Indians overstayed their visa.

What does India want from the deal? Increased immigration is one of the conditions set forth by India in the free trade deal. It doesn't mean unrestricted travel, but a smoother movement of professionals like doctors, engineers, technicians, etc. 

• The trade benefits India's textile, leather goods and footwear sectors among others. 

The irony of Suella Braverman's comments is not lost on Indian Twitter. Braverman is of Indian origin herself with a love for the British Empire. Moreover, it's common knowledge about who has the worst history of overstaying their welcome and where.

This bit about Indians overstaying their visas in UK is a bit rich coming from Cruella Braverman!
I mean, the British were the largest group who overstayed in India for 150 years & we never complained.
I don't think Indians have overstayed in UK that long ever https://t.co/Rigq49uEBG

— Soumitra Pathare 🌻 সৌমিত্র சௌமித்ரா பாடாரே (@netshrink) October 12, 2022