Indian exporters are set to receive a major boost as the India-United Kingdom Comprehensive Economic and Trade Agreement (CETA) comes into force on July 15, 2026, providing duty-free access for a wide range of products in one of India's most important export markets.
According to the government, the agreement will eliminate UK tariffs across several sectors of export interest to India, enhancing the competitiveness of domestic manufacturers and helping expand the country's presence in global value chains.
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Tariffs of up to 70% on processed food products, 21.5% on marine products, 18% on engineering goods and auto components, 16% on leather and footwear products, 12% on textiles and clothing, and 8% on chemicals and pharmaceutical products will be reduced to zero under the pact.
The government expects the tariff concessions to create new opportunities for farmers, fishermen, workers, MSMEs and manufacturers by improving market access and making Indian goods more competitive in the UK market.
Officials said the agreement would provide an immediate pricing advantage to Indian exporters, benefiting both traditional industries and large-scale manufacturing clusters.
Sectors such as textiles, leather, engineering goods, marine products and processed foods are expected to be among the biggest beneficiaries.
At the same time, India has protected sensitive agricultural sectors from import competition by excluding a range of products from tariff liberalisation commitments.
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These include dairy products, cereals, millets, edible oils, oilseeds, apples and several vegetable products.
The government has described the agreement as a balanced trade framework that seeks to expand export opportunities while safeguarding domestic interests.
The implementation of CETA is expected to strengthen bilateral trade ties and support India's broader objective of becoming a globally integrated and competitive economy.
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