Archive · 25 Jul 2025
India, UK Trade Deal to Lower Scotch Whisky Tariffs
India and the UK have made a deal to trade more easily!
This means it will be cheaper for Indian people to buy Scotch whisky.
The cost to import Scotch whisky will go down a lot over time.
Also, it will be easier for India to sell things like clothes and shoes to the UK.
Both countries are hoping this deal will help businesses and create more jobs.
The Indian government and business groups are excited about it and hope it'll help India's economy grow!
India and the UK signed the Comprehensive Economic and Trade Agreement (CETA).
Scotch whisky tariffs will be reduced from 150% to 75% immediately, and further to 40% over ten years.
The agreement eliminates tariffs on Indian exports of beverages, spirits, and vinegar to the UK.
The FTA is expected to boost Indian exports in labor-intensive sectors like textiles and footwear.
Indian government officials and industry leaders have expressed positive views on the agreement.
- Who
- India and the United Kingdom.
- What
- India and the UK signed the Comprehensive Economic and Trade Agreement (CETA), reducing tariffs on Scotch whisky and opening avenues for increased trade.
- When
- The agreement was recently signed and will be implemented after domestic ratification.
- Where
- India and the United Kingdom.
- Why
- To boost economic partnership, reduce trade barriers, and increase trade between the two countries.
Indian Domestic Industry
UK and Indian Business
Import Price
Indian Domestic Industry
Concern that cheaper Scotch could lead to dumping of low-priced products, affecting the growth of Indian premium brands.
UK and Indian Business
The agreement does not impose minimum import price (MIP) rules on Scotch imports, as requested.
- Agreement
- Comprehensive Economic and Trade Agreement (CETA)
- Whisky Tariff Reduction
- From 150% to 75% immediately, then to 40% over 10 years
- India's Exports to UK
- 99% of Indian exports will receive duty-free access
- Impacted Sectors
- Textiles, footwear, leather, pharmaceuticals
- Key Players
- India, United Kingdom
