Historic Milestone in India-UK Trade Relations

The India-UK trade deal marks a historic milestone, offering 99% duty-free access to Indian exports in the UK market. This agreement is set to significantly benefit labor-intensive sectors such as marine, textiles, chemicals, and base metals, which will now enjoy zero duties, down from rates as high as 20%.

Key Highlights of the Agreement:

The bilateral trade between the nations reached $21.9 billion in 2024, with projections indicating the agreement will enhance annual bilateral trade by £25.5 billion over the long term. The deal includes provisions for reducing tariffs on spirits, automotive sectors, and more, fostering a new era of economic partnership and shared prosperity.

Benefits Across Sectors

Agriculture and Processed Foods: Over 95% of tariff lines will be duty-free, boosting agri exports by over 20% in three years and supporting India's goal of $100 billion agri-exports by 2030.

Marine: No tariffs for India’s marine products, creating a $5.4 billion export opportunity.

Textiles: Duty-free access across 1,143 product categories, enhancing India’s competitiveness in the UK's $26.95 billion textiles import market.

Pharmaceuticals: Tariffs on generics and medical devices scrapped, making Indian products more competitive in the UK's nearly $30 billion pharmaceutical import market.

Opportunities for Indian Professionals

The FTA provides a new edge for India’s young professionals by exempting 75,000 Indian workers from UK social security payments for three years and granting access to 36 service sectors without an Economic Needs Test.