Archive · 25 Jul 2025
India-UK FTA: A Geopolitical Shift and Trade Boost
India and the UK are making a big trade deal!
This means they want to buy and sell more things from each other.
They hope to increase the amount of trade to a lot more money in the next few years.
Indian workers will find it easier to work in the UK, and won't have to pay certain taxes for a while.
It is seen as a way for India to team up with the US and UK, and maybe do things that China did, like buy brands.
This deal also opens doors for businesses in areas like medicine, farming, and clothes.
India-UK FTA aims to boost trade to $120-140 billion within five years.
The deal allows Indian professionals to work in the UK for 18 months without local office presence.
Indian professionals will be exempt from paying UK social security tax for up to three years.
NSE chief Ashish Chauhan views the FTA as a geopolitical signal distancing from China.
The agreement opens access in sectors like pharmaceuticals, agriculture, and textiles.
- Who
- Ashish Chauhan, CEO of the National Stock Exchange (NSE), spoke about the FTA.
- What
- India and the UK are working on a Free Trade Agreement (FTA).
- When
- The FTA is expected to boost trade within five years.
- Where
- The FTA involves India and the UK.
- Why
- To boost bilateral trade and signal a geopolitical shift.
India's Perspective
UK's Perspective
Trade and Professional Mobility
India's Perspective
The FTA will improve access to the UK market for Indian professionals and businesses.
UK's Perspective
The UK will benefit from increased trade and investment opportunities from India.
- Current India-UK Trade
- $56 billion
- Target India-UK Trade (within 5 years)
- $120-$140 billion
- Indian Professionals Social Security Tax Savings
- ₹4,000 crore annually
- Professional Work Permit Duration
- 18 months