The Indian government is considering revoking tariff concessions granted in the recently concluded Free Trade Agreement (FTA) signed with the UK in response to the latter's protective duties on steel imports, which will affect the supply of steel products from India to the UK, Indian government sources said on Wednesday, June 3.
India has already conveyed its concerns to the UK through appropriate diplomatic channels about new protective measures for steel, which entail a drastic reduction in duty-free import quotas and the imposition of a 50% tariff on shipments exceeding these limits, potentially affecting Indian steel exports to the UK, the sources said.
The free trade agreement between India and the UK, signed last May and expected to enter into force this year, has run into obstacles after the UK proposed stricter steel import protections to protect its domestic industry.
"So, the ball is now on the side of Great Britain. If they don't take advantage of their free trade agreement with us, we can always review the concessions we offered under the same agreement," said an Indian government official.
