New Delhi, May 4 (PTI) The conclusion of negotiations for three pacts, including the proposed free trade agreement (FTA) between India and the UK may take some more time, as both sides are yet to resolve certain outstanding issues, sources said.

There are four or five issues in the three pacts that the two countries are negotiating, they added.

Also Read | Mumbai: Man Who Kidnapped and Raped Minor Girl in Ghatkopar in April 2022 Awarded Life Imprisonment, Directed To Pay INR 15,000 Compensation to Survivor.

The three pacts under negotiation are -- FTA, bilateral investment agreement (BIT), and social security pact (officially dubbed as Double Contribution Convention Agreement).

The progress of talks were recently reviewed during meetings between Commerce and Industry Minister Piyush Goyal and UK Secretary of State for Business and Trade Jonathan Reynolds last week in London.

Also Read | Andhra Pradesh: 2 Killed by Lightning As Heavy Rain and Gusty Winds Lash Several Parts of State, Normal Life Affected.

"Certain critical issues are still there. Some more meetings would happen," one of the sources said.

Issues that may need some more discussions included sunset clause in the BIT, UK's new carbon tax, and data localisation.

The two sides were preparing to announce the closure of these negotiations on April 29 in London but differences cropped up at the last minute.

Goyal concluded his two-day visit to London on April 29. He then visited Oslo (Norway) and Brussels before returning to London on May 2. The minister is reaching the national capital on Sunday.

Finance Minister Nirmala Sitharaman on April 9 wrapped up the 13th Ministerial India-UK Economic and Financial Dialogue (EFD) with her British counterpart Chancellor Rachel Reeves on a positive note and expressed eagerness to conclude the agreement negotiations soon.

Earlier on February 24, Goyal and UK Secretary of State for Business and Trade Jonathan Reynolds had announced the resumption of negotiations for the proposed FTA between the countries.

The talks resumed after a gap of over eight months. So far, 14 rounds of talks have been completed which were launched on January 13, 2022.

In FTAs, two countries either eliminate or significantly reduce customs duties on maximum goods traded between them. They also ease norms for promoting trade in services and bilateral investments.

The Indian industry is demanding greater access for its skilled professionals from sectors like IT and healthcare in the UK market, besides market access for several goods at nil customs duty.

On the other hand, the UK is seeking a significant cut in import duties on goods such as scotch whiskey, electric vehicles, lamb meat, chocolates, and certain confectionary items.

Britain is also looking for more opportunities for UK services in Indian markets in segments like telecommunications, legal and financial services, including banking and insurance.

There are 26 chapters in the agreement, which includes goods, services, investments and intellectual property rights.

The bilateral trade between India and the UK increased to USD 21.34 billion in 2023-24 from USD 20.36 billion in 2022-23. The average duty on goods imported from India into the UK is 4.2 per cent.

According to economic think tank GTRI, items including textiles, apparel (shirts, trousers, women's dresses, bed linen), footwear, carpets, cars, marine products, grapes, and mangoes would benefit from the pact, as these products face relatively low to moderate tariffs in the UK.

(This is an unedited and auto-generated story from Syndicated News feed, LatestLY Staff may not have modified or edited the content body)