- Finance Ministry issued rules for origin determination under India-UK CETA starting July 15, 2026
- Certificate of origin needed to avail duty benefits under the India-UK trade agreement
- CBIC authorized entities in both countries to issue certificates of origin for exports
The Finance Ministry has issued the rules for determination of origin of goods under the India-UK comprehensive economic and trade agreement (CETA), news agency PTI reported citing a notification.
The India-UK trade agreement will come into force from July 15 onwards.
A certificate of origin is a crucial document needed for exports to avail duty benefits under India's trade agreements with partner countries. It is important to establish the origin of goods to make sure goods from other countries do not wrongfully get benefits of preferential tariff under trade agreements between two countries.
In a notification, the Central Board of Indirect Taxes and Customs (CBIC) said entities authorised by the two countries are permitted to issue these certificates in their respective countries.
"These rules may be called the Customs Tariff (Determination of Origin of Goods under Comprehensive Economic and Trade Agreement between India and the United Kingdom of Great Britain and Northern Ireland) Rules, 2026. They shall come into force on the 15th July, 2026," the report quoted the notification.
The trade agreement permits duty-free access for 99% of India's exports to the UK, covering nearly the entire trade basket. It 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 including engineering goods, auto components, and organic chemicals.
The bilateral trade between India and the UK rose 8.62% to $ 25.12 billion, including exports worth $13.44 billion and $11.68 billion as imports in 2025-26, up from $23.13 billion in 2024-25.
In the last fiscal, India reported a trade surplus of $ 1.76 billion.
Rajat Mohan, Managing Partner, AMRG Global, said the notification prescribing the Rules of Origin under the CETA is a crucial step towards operationalising the pact in a transparent and effective manner.
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"While the agreement offers significant tariff advantages, these benefits will now be available only to goods that genuinely satisfy the prescribed origin criteria. The framework strengthens the integrity of the FTA by preventing misuse through third-country routing and ensuring that concessions accrue only to legitimate manufacturers and exporters," Mohan told PTI.
Mohan said that businesses should proactively review their supply chains, value addition, sourcing patterns and documentation, as compliance with the rules of origin will be as important as the tariff concessions themselves.
(With inputs from PTI)
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