India and the United Kingdom have signed a comprehensive Free Trade Agreement (FTA) during Prime Minister Narendra Modi's official visit to the UK. The deal, described as the UK’s most economically significant bilateral trade agreement since Brexit, is expected to boost bilateral trade by approximately £25.5 billion ($34 billion) annually, representing a 39% increase in trade volume. Under the agreement, 99% of Indian exports will enter the UK duty-free, while India will cut or eliminate tariffs on 90% of UK goods. Labour-intensive sectors such as garments are anticipated to benefit significantly, and UK whisky tariffs will be reduced to 40% over the next decade. Prime Minister Modi characterized the FTA as a plan for "shared prosperity" and expressed satisfaction with the culmination of years of negotiations. The agreement marks a major milestone in the bilateral relationship amid rising geopolitical tensions and trade wars, and signals a broader shift in India's trade strategy as it pursues further FTAs, including with the European Union.
India File: UK deal sets cautious tone on trade https://t.co/cH5JQiqiPV https://t.co/cH5JQiqiPV
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