New Delhi, Jul 24 (KNO): In a historic move towards building a stronger economic partnership, India and the United Kingdom on Thursday signed the Comprehensive Economic and Trade Agreement (CETA).
According to the details available with the news agency—Kashmir News Observer (KNO) the agreement was signed by Commerce and Industry Minister, Piyush Goyal and Secretary of State for Business and Trade, Jonathan Reynolds in the presence of the two Prime Ministers.
Officials said that this FTA marks a significant milestone in India’s engagement with major developed economies and reflects a shared commitment to strengthening economic integration. “As the world’s fourth and sixth largest economies respectively, India and the UK’s bilateral engagement holds global economic significance. 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 USD 56 billion, with a joint goal to double this figure by 2030,” they added.
As per the officials CETA secures unprecedented duty-free access for 99% of India’s exports to the UK, covering nearly the entire trade basket. “This is expected to open 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, auto components, and organic chemicals,” they added.
“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. Indian professionals, including those deployed by companies to work in UK across all services 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,” the officials said.
Union Minister for Commerce and Industry, Piyush Goyal, conveyed profound gratitude to the Prime Minister Narendra Modi for his visionary leadership and resolute commitment, which have been instrumental in achieving this historic agreement.
“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% of Indian exports to the UK, covering nearly 100% of trade value- including labour-intensive sectors advancing the ‘Make in India’ initiative and setting the stage for bilateral trade to double by 2030,” they added,
The CETA includes ambitious commitments in goods and services, covering various sectors, while enhancing mobility for Indian professionals by simplifying access for contractual service providers, business visitors, and independent professionals. The innovative Double Contribution Convention will exempt Indian workers and their employers from UK social security contributions for three years, boosting competitiveness and earnings. “This FTA will serve as a catalyst for inclusive growth, benefiting farmers, artisans, workers, MSMEs, startups, and innovators while safeguarding India’s core interests and accelerating our journey towards becoming a global economic powerhouse.”
“India has also secured an agreement on the Double Contribution Convention. This will exempt Indian professionals and their employers from social security payments in the UK for up to three years, improving the cost competitiveness of Indian talent.
The agreement has been designed to make trade more inclusive. Women and youth entrepreneurs, farmers, fishermen, startups, and MSMEs will gain new access to global value chains, supported by provisions that encourage innovation, promote sustainable practices, and reduce non-tariff barriers,” the officials said, adding, “The 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 India and the United Kingdom.”—(KNO)