99% of Indian Exports Get Duty-Free Access Under New U.K. Trade Pact

India's exports to the United Kingdom have entered a new era of competitiveness, with the Comprehensive Economic and Trade Agreement (CETA) coming into force today, July 15, 2026. Union Home Minister Amit Shah announced that the treaty will provide zero-duty market access for 99% of Indian exports, marking a significant milestone for labour-intensive sectors like textiles, leather, engineering, food processing, pharmaceuticals, and MSMEs.

A Boost for Labour-Intensive Industries

Mr. Shah highlighted the transformative potential of the agreement, stating it will unlock untapped opportunities for Indian businesses. The zero-duty access is expected to significantly lower costs for exporters, making Indian goods more competitive in the U.K. market. Additionally, the treaty includes provisions to ease restrictions on Indian professionals working in the United Kingdom, further strengthening bilateral ties.

Doubling Trade and Economic Growth

Signed last year by Prime Minister Narendra Modi and U.K. Prime Minister Keir Starmer, the CETA is projected to double annual trade between the two nations, which currently stands at approximately £48 billion. By 2030, the agreement aims to boost both countries' GDPs by nearly £5 billion annually, underscoring its long-term economic impact.

A Step Towards 'Viksit Bharat'

Calling the treaty "key to a Viksit Bharat," Mr. Shah emphasized its alignment with Prime Minister Modi's vision for a developed India. He described the agreement as a testament to the government's pro-people diplomacy, designed to benefit industries and workers across the country.

The India-U.K. trade treaty is set to redefine bilateral economic relations, offering unprecedented opportunities for Indian exporters while fostering deeper professional and economic collaboration.

Source: The Hindu