India and the United Kingdom have officially signed a landmark Free Trade Agreement (FTA), a deal expected to double bilateral trade by 2030. The agreement, formally known as the Comprehensive Economic and Trade Agreement (CETA), was signed by Commerce Minister Piyush Goyal and British Trade Minister Jonathan Reynolds, in the presence of Indian Prime Minister Narendra Modi and UK Prime Minister Keir Starmer.
Key Highlights:The agreement is poised to bring significant benefits to Indian farmers by providing duty-free access for a wide range of Indian agricultural and processed food products in the UK. It is expected to create new export opportunities and increase profit margins for farmers across India.
Products such as turmeric, pepper, cardamom, and processed items like mango pulp, pickles, and pulses will now enter the UK market without import duties. The Indian government has emphasized that these products will enjoy more favorable terms than those offered to exporters from other European nations.
The fisheries sector will also see substantial gains, particularly in coastal states like Andhra Pradesh, Odisha, Kerala, and Tamil Nadu. Exports such as shrimp, tuna, fishmeal, and aquaculture feeds, which currently face tariffs between 4.2% and 8.5% in the UK, will now enjoy duty-free access, enhancing their global competitiveness.
While the agreement allows duty-free access for several UK imports into India, the Indian government has ensured that sensitive agricultural segments remain protected. No tariff concessions will be offered on key items such as dairy products, apples, oats, and edible oils, to safeguard the interests of domestic farmers.
This strategic trade pact not only strengthens economic ties between the two countries but also aims to open up international markets for Indian farmers and producers, reinforcing India’s agricultural and rural economy.