New template for trade agreements

India has thus far been pushing for its skilled labour to be allowed to live and work temporarily in nations like the UK

- Dhirendra Kumar

In a major strategic shift, India is moving away from negotiating full-fledged free trade agreements (FTAs) and instead opting for short-term, limited-scope deals with several countries, including the UK and New Zealand, said two people familiar with the matter.

The ongoing trade talks with the US for a bilateral trade agreement are also part of this "early harvest approach", focusing on negotiating tariffs and non-tariff measures, with sensitive issues such as intellectual property rights and emigration set aside for now, they said.

"This new approach is aimed at accelerating outcomes in the ongoing trade talks while avoiding the long-drawn negotiations typical of comprehensive FTAs," said the first person.