David Lammy, Britain’s Foreign Secretary arrived in India, aiming to strengthen ties and reset relations with both India and the Global South. This visit underscores the new Labor government’s strategic priorities in foreign policy and economic growth.
Lammy has emphasized India’s crucial role as an “indispensable partner” in addressing key challenges such as economic growth and climate change. With India’s economy poised to become the world’s third-largest, the UK government is keen on securing a free trade agreement, recognizing the immense potential for British businesses to expand their presence in the Indian market.
The timing of this visit, just three weeks into U.K. Prime Minister, Keir Starmer‘s administration, highlights the urgency and importance the Labor party places on engaging with India. Previous negotiations for a free trade agreement have been stalled for months, despite efforts over the past two years. Lammy aims to reinvigorate these talks, stating that securing a deal would be a “floor, not a ceiling” for Britain’s ambitions.
India’s recently signed a free trade agreement with non-EU European states Norway, Switzerland, Iceland, and Liechtenstein. This deal with the European Free Trade Association will see investments in India of $100 billion, the country’s trade minister says. India is already the largest foreign investor in the United Kingdom, with assets including Jaguar and Land Rover.
This agreement adds pressure on the UK to make progress in its own negotiations. A successful trade deal with India has long been considered a major post-Brexit opportunity for the UK.
Beyond economic interests, Lammy’s visit carries broader diplomatic significance, reflecting a recognition of shifting global dynamics and the need to diversify international partnerships amid political instability in Europe and the U.S.
Lammy’s characterization of India as “the emerging superpower of the 21st century” underscores the long-term strategic thinking behind this diplomatic engagement.
USA is not yet in serious talks about free trade with India.
Last updated: December 26th, 2025
