India’s free trade agreement with the United Kingdom is expected to create new opportunities for businesses, investors and professionals while expanding bilateral commerce and innovation, Union Commerce and Industry Minister Piyush Goyal said as the deal took effect Wednesday.
Goyal said the India-UK Free Trade Agreement would support Prime Minister Narendra Modi’s Viksit Bharat 2047 vision by opening new avenues for trade and investment and creating opportunities across different sections of Indian society.
The minister said women, farmers, young people, micro, small and medium-sized enterprises, innovators, professionals and fishing communities are among those expected to benefit from the agreement.
Goyal emphasized that the deal is not limited to supporting Indian exporters and will also create opportunities for skilled and white-collar service sector workers.
Under the agreement, nearly all Indian exports to the UK will receive duty-free access, providing significant opportunities for labour-intensive industries, small businesses, farmers and other exporters.
The trade pact is also expected to generate new jobs and business opportunities while gradually exposing Indian manufacturers to greater international competition. Goyal said increased competition could ultimately benefit consumers through greater access to competitively priced, high-quality products.
More than 75,000 Indian professionals and over 900 businesses are expected to benefit from the agreement, according to the minister.
Sensitive agricultural products remain protected
Goyal said India has not provided tariff concessions to the UK on several sensitive agricultural products.
Dairy products, vegetables, apples, edible and cooking oils, oats and millets are among the goods placed on a sensitive list and protected from tariff reductions under the agreement.
The minister said the exclusions reflect the government’s focus on food security, maintaining domestic price stability and protecting vulnerable farming communities.
The India-UK trade agreement is expected to deepen economic ties between the two countries while expanding market access for Indian exporters, professionals and businesses.
