Efforts to reduce duties on Maldivian fish exports to the United Kingdom were not discussed during the second UK-Maldives Strategic Dialogue held on Wednesday, raising concerns about the status of the proposed free trade agreement (FTA).
Talks aimed at scrapping the 20% tariff on fish imports from the Maldives to the UK began under the Ibrahim Mohamed Solih government. The recent talks, however, did not revisit this issue and instead focused on changes to UK immigration policies and the challenges Maldivians face when applying for UK visas.
The UK-Maldives Dialogue, a bilateral platform designed to strengthen ties between the two nations, held its first meeting on 20 February 2023. The talks laid the foundation for further improving trade relations, with a special focus on the fisheries sector, a major source of export revenue for the Maldives.
Following the first round of negotiations, the UK on 8 June 2023 launched a public consultation to gather input on an FTA with the Maldives. Stakeholders were given eight weeks to provide feedback on trade priorities and identify obstacles facing UK companies operating in the Maldives.
Despite the initial momentum, discussions on a formal trade agreement appear to have stalled. While the previous government prioritised securing preferential market access for Maldivian fisheries — particularly canned and frozen tuna — the current administration has not made the matter a focus since taking office in November 2023.
Maldivian officials have not clarified whether pursuing a trade deal with the UK remains a priority. The Maldives, a Commonwealth member, currently lacks a preferential trade arrangement with the UK, unlike many other Commonwealth countries that benefit from reduced tariffs or duty-free access under the UK’s Developing Countries Trading Scheme (DCTS).
Fisheries exports, mainly yellowfin and skipjack tuna, are a key source of foreign exchange for the Maldives, with the UK one of its main European markets. Without favourable trade terms, Maldivian products face higher import costs, making them less competitive than fish from countries with free trade agreements or lower tariffs.