Archive · 24 Jul 2025
India and UK to Sign Landmark Free Trade Agreement
India and the UK are making a deal to trade with each other more easily.
This means fewer taxes (tariffs) on things they buy and sell.
The goal is to make trade worth twice as much, reaching $120 billion by 2030.
Indian businesses will find it easier to sell products to the UK, and vice versa.
For example, taxes on whisky coming into India will go down.
It should help lots of different businesses, make jobs, and boost the economy for both countries.
India and the UK are signing a Free Trade Agreement (FTA) during PM Modi's visit.
The FTA aims to boost bilateral trade, potentially doubling it to $120 billion by 2030.
The deal will eliminate or reduce tariffs on numerous goods, benefiting sectors like textiles and engineering.
UK tariffs on Indian products will drop from 15% to 3%, while whisky tariffs will be reduced.
The agreement includes commitments on services, like IT and financial, and simplifies mobility for professionals.
- Who
- India and the United Kingdom.
- What
- India and the UK are signing a Free Trade Agreement (FTA).
- When
- The agreement is being signed during Prime Minister Narendra Modi's visit to the UK.
- Where
- The agreement is being signed in the UK.
- Why
- To boost bilateral trade and economic growth.
India's Perspective
UK's Perspective
Trade implications
India's Perspective
The FTA will allow for greater market access.
UK's Perspective
The FTA could pose challenges to the Indian automobile sector due to tariff reductions.
- FTA Goal
- Double trade to $120 billion by 2030
- Indian Exports to UK
- 99% will receive duty-free access
- UK Tariffs on India
- To drop from 15% to 3%
- Whisky Tariffs
- To drop from 150% to 75% initially, then to 40% over 10 years
- Investment
- UK is the 6th largest investor in India, with investments around $36 billion
Sources
Narendra Modi UK Visit LIVE: Landmark Trade Agreement, Khalistanis On PM Modi's UK Agenda
India and the UK sign Free Trade Agreement: Key highlights
Modi meets UK PM at country retreat Chequers
India To Benefit From UK Trade Deal With 99% Tariff Elimination On Exports
PM Modi Lands In UK, Long-Awaited Free Trade Deal Expected Today: 10 Points
Tariffs On UK Products In India To Drop From 15% To 3% Under New Trade Deal