Commerce and Industry Minister Piyush Goyal has welcomed the formal implementation of the India-UK Comprehensive Economic and Trade Agreement (CETA), describing it as a landmark achievement that will significantly strengthen bilateral trade, investment and economic cooperation between the two countries. The agreement officially came into force on July 15 after years of negotiations and preparations.
Goyal said the agreement marks the beginning of a new chapter in India-United Kingdom economic relations and is expected to create fresh opportunities for exporters, manufacturers, farmers, startups and service providers. He noted that the pact reflects the shared commitment of both nations to promoting sustainable economic growth and expanding commercial partnerships.
Under the agreement, nearly 99% of Indian exports will receive duty-free access to the UK market, providing a major boost to labour-intensive sectors such as textiles, garments, leather, gems and jewellery, engineering goods, marine products and processed foods. The pact is also expected to improve market access for Indian professionals and service providers while simplifying trade procedures and reducing non-tariff barriers.
In return, India will gradually reduce tariffs on several British products, including premium automobiles, Scotch whisky, gin and selected consumer goods. The phased tariff reductions are expected to increase consumer choice while encouraging greater investment and technology collaboration between businesses in both countries.
Industry bodies and business leaders have welcomed the agreement, calling it a transformational step for bilateral commerce. They believe the pact will encourage higher investments, strengthen supply chains, generate employment and help increase two-way trade significantly over the coming years.
The India-UK Comprehensive Economic and Trade Agreement is regarded as one of India’s most ambitious trade deals to date. With the agreement now in effect, both countries are expected to deepen cooperation across trade, technology, innovation, manufacturing and services, reinforcing their strategic economic partnership and opening new avenues for long-term growth.
