Comprehensive Economic and Trade Agreement Signed Between India and UK

The Comprehensive Economic and Trade Agreement (CETA) between India and the UK has been signed in London, marking a significant milestone in their relationship. This agreement ensures that 99% of Indian exports will enter the UK without tariffs, covering nearly the entirety of the bilateral trade volume. India will reciprocate by reducing or eliminating duties on a significant portion (90%) of UK imports, which constitute a substantial percentage of the total import value. The agreement is designed to bolster India’s services sector, with a focus on information technology and outsourcing. It will also provide greater opportunities for financial and professional services to operate in both countries. This will also give Indian tech innovations free access to UK markets and provide tariff benefits for UK distilleries and the automotive sector when entering the Indian market. The agreement will also benefit labour-intensive sectors such as leather, footwear, textiles, and clothing. India has included measures to protect its interests by excluding dairy imports from the UK and imposing restrictions on specific goods that could negatively affect its domestic markets. During the signing, Prime Minister Modi emphasized the shared commitment to fight terrorism and the importance of cooperation on the extradition of economic offenders. The signing ceremony was attended by key officials including the Union Minister of Commerce & Industry and the UK Secretary of State for Business and Trade.