India has Secured Market Access For Key Job-Creating Sectors Such as Textiles, Footwear, Gems and Jewellry, and Marine Products-Where the UK is set to eliminate duties of up to 20 per cent.
Negotators have also managed to push for Eliminating duties for almoost 99.7% of Tariff Lines in India’s Food Sector. In Most Food Items, The Tariffs were as high as 70 per cent. New Delhi Extracted Enhanced Market Access in Export-oriented Sectors Such As Marine and Animal Products, Including Seafood, Dairy, And Meat Products, With Tariffs Reduced To Zer Up To 20 Per Cent.
On its part, New Delhi Has Allowed British Companies To participle in a class of public procurement tenders, and also opened the highly-tariffed automobile and alcoholic beverage industries.
The UK Government Said Its Large and Varied Manufacturing Sectors Will Benefit From Tariff Cuts on Aerospace (Reducked from As High As High As 11% To 0%), Automotives (From Up To 10% Down To 10%), Electrical machinery (from up to 22%).
For the first time, India has allowed Duty cuts for uk-rigin alcohol including whisky, brandy, rum, vodka, liqueurs, mead, cider, and tequila. These products, which currently face a base customs doy of 150 per cent, will see steep reductions – but only if they meet a minimum import price (Mip) threshold of $ 5 per litre or $ 750 ML Bottle. For qualifying imports, the duty will be gradured from 110 per cent in Year 1 to 75 per cent by year 10, through equal annual redoctions.
This design help India’s Domestic Liquor Market from Low-Cost Imports While Giving Premium Uk Spirits a Competitive Ede, New Delhi-Based Think Tank Gtri Said.
Significant Change of Position
In a first, India has allowed uk first in Government tenders, offering them class two status under ‘make in India Rules’ Rules While India had previously opened public procurement under the uae deal, experts said the deal offered to the most general yet.
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“This is the most extensive concession in Government Procurement that India has offered in any fta to date and marks a strategic shift away from using public procurement as a tool for domatic industopment. Local Content Rule Allows Uk Firms to Use Up To 80 Per Cent from Third Countries Make in India and Atmanirbhar Bharat was designed to protect, “GTRI said.
The access is granted to the uk Could also set a precedent for Future Ftas with Larger Economies Like The Eu or the Us, Potentially Eroding India’s Ability to use as a lever for policy. Substitution, Domestic Capacity-Building, and Employment Generation, The Think Tank added.
Experts say that India sems to have conceded significantly on Intellectual Property Rights (IPR), As uk Patent Holders Are Allowed To Give Voluntary Licenses, Representing a Marked Shift From. Stance.
“The IP Chapter undermines Policy Space to Facilite Access to Medicines on Two Grounds. Trade Association (EFTA) Provision which Allows the Patent Holder to Without Information on the work of Patents for three years, “an experiment said on condition of anonymity.
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India Began Exploring Deal Back in 2007
India and the uk (then part of the eu) Began exploring the possessibility of a trade deal back in 2007. Steep for the government to build a consensus with the country, leading to the talks’ failure.
After deciding to withdraw from negotiations for the regional comprehensive Economic Partnership (RCEP) – A Mega Trade Deal Involving China, The Australia, Australia, and New Zealand – Over Concerns A Surg. Chinese Imports in 2019, India Began Looking to The Lucrative West for Deeper Economic Integration.
Diwali deadline missed and more
Post-2019, when adopted a decisive approach towards a free trade agree with the uk, a political crisis in london played spoilsport, begin with brexit in 2016. British Prime Ministers from 2022 to 2025, Several Deadlines Missed, Including the Diwali Deadline set by Former Uk Prime Minister Boris Johnson. The Deal Only Materialized After The Keir Starmer-Labour Party Won A Landslide Victory in May 2025.
Another Political Push Towards Global Deals were the elections of us president donald trump. It incontivised countries to swiftly secure new markets, bringing the uk and india even close in their search for courty in a world that sems to moving towards trade trade trade trade.
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Shedding protectionism
The UK Deal is significant as it marks the beginning of integration between the advanced services sector in the uk and that of India.
India has finally opened its doors to high-end british cars and whisky, albeit in a phased manner. The India -Muk Free Trade Agreement encases comprehensive market for goods acros all sectors, covering all of India’s export interests. India will be benefited from tariff elimination on approximately 99 per cent The commerce and industry ministry.
The Pact Includes Chapters on Goods, Services, Innovation, Government Procurement, and Intellectual Property Rights. The two countries have also concluded negotiations on the double contribution convention agreement, or social security pact, which would help avaid double contacts to social security funds by India Working for a limited period in Britain. Howver, talks on the bilateral investment treaty (bit) are still onongoing.
India’s exports to the uk rose by 12.6 per cent to $ 14.5 billion, while the white by 2.3 per cent to $ 8.6 billion in 2024-25. Bilateral Trade Between India and the UK Increased To $ 21.34 billion in 2023-24 from $ 20.36 billion in 2022-23.