Iyer believes companies in both countries are aspirational and ambitious, something the FTA will assist. Ease of doing business will come into play then, he insists…reports Asian Lite News
Even as negotiations continue to shape the India and UK free trade agreement (FTA), the evolving contours of trade between the two countries, with special focus on tech, has already seen India become the second biggest source of investment in the United Kingdom. This, with 118 new projects and creating 8,384 new jobs in 2022-23.
Chandru Iyer, UK’s Deputy Trade Commissioner of Investment for South Asia and Deputy High Commissioner to Karnataka and Kerala, believes British companies have been able to leverage India’s technology capabilities and experience.
The FTA will arrive, and when it does, growing tech collaborations will provide a foundation. The UK’s import of tech from India clocked £20.8 billion at the end of Q4 2022, an increase of 35% (or £5.4 billion) compared to 2021, according to official figures. At the same time, among the many sectors, India imported around £374.61 million worth of electronic equipment from the UK, according to the United Nations Comtrade data.
Iyer believes companies in both countries are aspirational and ambitious, something the FTA will assist. Ease of doing business will come into play then, he insists.
Iyer, who was previously the head of business development for global professional services firm Grant Thornton’s South Asia Group, talks about how the tech collaborations between companies in both countries already have a much wider impact. One example of it is that the tech backbone for operations at all Tesco stores across the UK is managed out of the company’s Global Capability Center in Bengaluru.
In May, Tesco announced plans to enter the business-to-business (B2B) market as well, with similar solutions for retailers globally. Indian tech giant Nasscom is partnering with MIDAS (Manchester’s Inward Investment Agency) and MAG (Manchester Airports Group) for a ‘Launchpad’ that’ll support Indian small and medium tech enterprises setting businesses there.
Last month, UK’s Secretary of State for Business and Trade Kemi Badenoch had announced the global Unicorn Kingdom Pathfinder Awards for 2023 as the country breached the $1 trillion valuation in the technology sector, becoming the third country to do so after the United States and China. Northern Ireland is playing its part, Iyer says. Belfast has become the biggest hub for technology companies in the UK after London, with the region now home to more than 100 cyber security companies.
The idea is to identify the best start-ups, including in India, put them on a platform to compete with each other and find ones that’ll go for the global competition. “My aspiration is to have an Indian start-up as a winner of the first Pathfinder competition,” he says.
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