In a significant development, the United Kingdom and India have formalized a comprehensive trade agreement following extensive negotiations lasting three years. This landmark deal aims to facilitate easier export processes for UK products including whisky and automobiles to the Indian market while simultaneously reducing tariffs on Indian exports of clothing and footwear. Notably, the agreement does not encompass changes to immigration policies, leaving the situation for Indian students studying in the UK unchanged.
UK and India Forge Historic Trade Agreement
UK and India Forge Historic Trade Agreement
The newly signed trade deal aims to bolster economic ties and enhance market access between the UK and India.
British Business Secretary Jonathan Reynolds lauded the trade deal, pointing out its potential to yield substantial benefits for both UK businesses and consumers. In the previous year, trade between the UK and India reached an impressive £41 billion, with projections suggesting that the new agreement could further amplify this figure by an additional £25.5 billion annually by the year 2040. Reynolds' discussions with Indian Trade Minister Piyush Goyal in London last week were pivotal in finalizing the details of the accord.
Once enacted—a process expected to take up to a year—UK consumers can look forward to lowered tariffs on a variety of Indian goods entering the market. The government has underscored that this agreement will foster economic growth and job creation as UK firms increase their export activities to India.
India is on the trajectory to become the world’s third-largest economy soon, adding urgency to the UK’s strategic interests in the region, especially following previous trade challenges posed by the United States. Indian Prime Minister Narendra Modi's administration has set ambitious export targets, aiming to elevate their figures by an additional $1 trillion by 2030. As developments unfold, more details on the trade agreement will be shared.
Once enacted—a process expected to take up to a year—UK consumers can look forward to lowered tariffs on a variety of Indian goods entering the market. The government has underscored that this agreement will foster economic growth and job creation as UK firms increase their export activities to India.
India is on the trajectory to become the world’s third-largest economy soon, adding urgency to the UK’s strategic interests in the region, especially following previous trade challenges posed by the United States. Indian Prime Minister Narendra Modi's administration has set ambitious export targets, aiming to elevate their figures by an additional $1 trillion by 2030. As developments unfold, more details on the trade agreement will be shared.
