Brexit Offers India A New Deal

Way back in July 2019 when Boris Johnson packed his cabinet with pro-Brexit allies soon after taking office, he had, in a sense, set the stage for Britain’s imminent departure from the EU – now a foregone conclusion with a thumping majority for the Tories in the recent UK general elections and approval of Britain’s exit from the European Union by the British Parliament scheduled for 31 January.

- Nivedita Mukherjee*

Even as Britain and the EU work to seal an agreement on trade and other aspects of their future ties after the divorce, for India, there are reasons to welcome a decisive move on UK’s exit that promises to open up a sea of economic opportunities, which if well tapped, ensure great dividends for the India-UK bilateral relations. For India Inc, it marks the end of an uncertainly that has kept many Indian companies who have invested in the UK and have interests in the British market, on tenterhooks, and who can now proceed with their business plans and ventures. Indian firms would be happy with a Brexit that, as negotiated by Mr Johnson with Brussels, keeps intact a customs union across the English Channel, a major concern for Indian investors. “India and the UK have a unique opportunity to redefine their economic engagement,” says DK Aggarwal, President, PHD Chamber of Commerce & Industry. “It puts India in a stronger position, post-Brexit, to expand exports, push our advantage in sectors of strength like pharmaceuticals in the UK market and negotiate for a better deal on the mobility of professionals,” says Aggarwal. The UK Government is expected to introduce a new visa for qualified doctors and nurses from various countries, including India, to address workforce shortages in the state-funded National Health Service and has an immigration plan highlighting the economy’s need for skilled professionals coming into effect from 2021 which will work in favour of Indian students keen on post-graduate studies in the UK and firms in the education sector.