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Britain doubles export backing for India

Press Trust of India  |  London 

The today announced the doubling of its national credit support for businesses exporting to India, during the visit of Commerce and Industry

Prabhu held talks with Britain's international trade minister, Liam Fox, in as part of the 12thmeeting of the UK-Joint Economic and (JETCO) to discuss greater cooperation between the two countries and identify barriers to trade and investment.

As part of the deliberations, Foxannounced that the UK's national export credit agency, Export (UKEF), has more than doubled its financial support to enable businesses to trade with

This means 4.5 billion pounds will now be available for companies exporting to as well as Indian buyers of goods and services.

The said the would work closely with to break down barriers to boosting trade, which includes the latest doubling of trade support for exporters and Indian buyers of British goods and services.

UKEF support is made available in Indian rupees, allowing Indian buyers to access in their own currency and making sourcing from the even more competitive.

He said, "is the world's seventh-largest and the fourth largest investor into the UK, while investment in grew by 8.8 per cent in the year to 2016.

"For the first time in 40 years, the is preparing for its own independent trade policy, and expanding our bilateral trade and investment with will be central to that task. It's in our shared interest to boost prosperity, generate jobs, develop skills, and enhance the competitiveness of both our countries," he said.

According to the UK's (DIT), the India-trading relationship was worth 15.7 billion pounds in 2016, with exports to amounting to 5.8 billion pounds.

Indian (FDI) in the was worth 1.5 billion pounds in 2016, while investment into rose to 13.2 billion pounds in 2016.

"There is huge potential to expand bilateral trade and investment as the prepares to leave the (EU)," DIT said.

and Indian businesses, including engineering consultancy Arup and Indian infrastructure firm Infrastructure Leasing and Financial Services (IL&FS), also met alongside the JETCO to discuss ways of boosting cooperation in growing sectors such and smart cities.

While the cannot strike any new bilateral pacts until the official process in complete, the two countries had agreedto set up a new joint working group on trade at the last meeting of JETCO in in November 2016 to work towards removing barriers to trade.

The meeting in was aimed at building on progress made by the UK-trade working group.

"A lot of interest and positivity has been generated in today by Initiated in mid-2016 by the Indian and governments and aimed at establishing immediate areas of improving trade, it is still at its early stages.

"Nonetheless, there are already really positive signs and, hence, anticipation for a renewed and ever deepening India-economic partnership," said Business Council Richard Heald, who was present at the discussions here.

The UKIBC welcomed a focus on and drink, pharma, healthcare and Medtech, and IT and ITES as the three core sectors for closer India-cooperation.

"There are huge opportunities in these three areas. These are areas where we can leverage our individual strengths and at the same time build on those collaborations which already exist," he said.

The JETCO forms a precursor to the Commonwealth Heads of Meeting (CHOGM), to be hosted by the in April and expected to be attended by

Heald highlighted that such ministerial visits on both sides are an opportunity to reflect on the changing dynamics of the 52-member bloc and "to make a step change in the multilateral/bilateral relationship that underpin the Commonwealth".

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Thu, January 11 2018. 19:00 IST