In a significant step toward deepening bilateral ties, India and the United Kingdom have signed the Comprehensive Economic and Trade Agreement (CETA), marking a new chapter in their economic partnership.
The signing of the India-UK CETA follows the successful conclusion of negotiations announced on 6th May 2025. The bilateral trade between the two countries stands at nearly $56 billion, with a joint goal to double this figure by 2030.
CETA secures unprecedented duty-free access for 99 percent of India’s exports to the UK, covering nearly the entire trade basket. This is expected to open up new opportunities for labour-intensive industries, such as textiles, marine products, leather, footwear, sports goods, toys, and gems and jewellery, alongside fast-growing sectors like engineering goods, automotive components, and organic chemicals.
According to the statement, the services sector, a strong driver of India’s economy, will also see wide-ranging benefits. The agreement provides greater market access in IT and IT-enabled services, financial and legal services, professional and educational services, and digital trade.
The professionals, including those deployed by companies to work in the UK across all service sectors, professionals deployed on contracts such as architects, engineers, chefs, yoga instructors, and musicians, will benefit from simplified visa procedures and liberalised entry categories, making it easier for talent to work in the UK.
India’s Commerce and Industry Minister, Piyush Goyal, stated that, “This CETA marks a milestone in the trade relations between two major economies, setting an ambitious and balanced framework. It unlocks tariff-free access on 99 percent of Indian exports to the UK, covering nearly 100 percent of trade value- including labour-intensive sectors advancing the ‘Make in India’ initiative and setting the stage for bilateral trade to double by 2030.”
CETA is expected to boost trade volumes significantly in the coming years, creating jobs, expanding exports, and supporting a deeper, more resilient economic relationship between the both countries, as per the statement.
