Archive · 2 Jun 2025
India-UK FTA: Wine Excluded, Whiskey and Car Duties Reduced
India and the UK are making a trade deal, meaning they will trade goods and services more easily.
This agreement will make it cheaper to buy Scotch whiskey and some cars from the UK.
However, it won't make wine from the UK cheaper.
Car companies don't think the deal will change car prices much because most cars sold are made in India.
This deal is expected to boost trade between the two countries and will be implemented in the future.
India and the UK have concluded a free trade agreement (FTA).
India will not reduce import duties on British wines under the FTA.
Limited duty concessions will be offered on British beer.
Tariffs on UK whiskey and gin will be reduced over a 10-year period.
Mercedes-Benz and BMW anticipate a limited impact on car prices.
- Who
- India and the United Kingdom.
- What
- A free trade agreement.
- When
- Talks concluded May 6, 2024; FTA will take over 15 months to come into force.
- Where
- Between India and the United Kingdom.
- Why
- To boost trade and economic growth between India and the UK.
- FTA Announcement
- India and UK concluded a free trade agreement on May 6th
- Whiskey Duty Reduction
- India will reduce duty on UK whiskey and gin from 150% to 75%, further to 40% in ten years.
- Wine Duty
- India will not provide duty concessions on British wines.
- Beer Duty
- Limited duty concessions on British beer
- Automobile Duty
- Import duty on cars to be reduced over 10-15 years.
- FTA Implementation Timeline
- Expected to take over 15 months to come into force.
