Key Points

According to an official statement issued by the UK government, "The visit follows the historic Free Trade Agreement signed between the two countries and will deliver on this government's commitment to boost jobs and prosperity back in the UK, as part of the government's Plan for Change."

During the two-day visit, Lammy is also expected to call on Prime Minister Narendra Modi.

In addition to meetings with top Indian officials, Lammy will also meet Union Minister of Commerce and Industry Piyush Goyal.

The two leaders will explore further opportunities to generate economic growth and expand market access for British businesses operating in India.

The visit comes on the heels of the Free Trade Agreement (FTA) signed on May 6, a landmark accord expected to transform bilateral commerce.

As per UK government projections, the new trade deal will increase bilateral trade by over £25 billion annually, raise UK's GDP by £4.8 billion, and enhance wages by £2.2 billion each year, resulting in tangible economic benefits for working-class citizens.

The Foreign Secretary will engage with key figures in the Indian industry to explore ways to increase Indian investment in the UK and unlock new opportunities in both markets.

His visit is seen as an important step in preparing the ground for a potential visit to India by UK Prime Minister Keir Starmer in the near future.

The FTA, finalised on May 6, is set to exempt 99 per cent of Indian exports from tariffs and simplify procedures for British firms exporting products such as whisky, cars, and machinery to India.

This agreement, the largest trade deal signed by the UK since Brexit, also includes a double contribution convention to ease tax compliance and promote cross-border investments.

Alongside economic discussions, the Indian side is expected to raise the pressing issue of cross-border terrorism emanating from Pakistan.

This follows the UK's role in maintaining communication with both India and Pakistan during heightened military tensions between the two nations last month.

The UK government said, "The Foreign Secretary is also expected to address the recent escalation in tensions following the Pahalgam terrorist attack and how the welcomed sustained period of peace can be best supported in the interests of stability in the region."

Notably, Lammy had earlier undertaken a two-day visit to Islamabad on May 16, during which he welcomed the understanding reached on May 10 between India and Pakistan to cease military actions, highlighting the UK's interest in regional stability.

The visit will also take stock of progress made under the UK-India Comprehensive Strategic Partnership, as committed by the Prime Ministers of both countries.

This includes reviewing developments under the UK-India Programme of Cultural Cooperation Agreement signed in May and assessing the £400 million in trade and investment deals announced during the Economic and Financial Dialogue in April, aimed at bolstering the economies of both nations.

- IANS