“Q: What’s the UK-India free trade agreement – and what are the benefits for my UK-based small business?”
The UK and Indian governments have announced the creation of a new UK-India free trade agreement – making it easier to trade between the two nations.
“A: The UK-India free trade agreement, formally known as the Comprehensive Economic and Trade Agreement (CETA), came into force on 15 July 2026.”
The new trade agreement reduces the costs and administrative hurdles of trading between the UK and India, opening up new markets for businesses in both countries.
The agreement means:
- lower tariffs
- simpler customs
- stronger digital trade commitments
- clearer rules for businesses operating across both markets
The benefits for UK and Indian export businesses
Streamlining the trade and customs barriers between countries is a major bonus for any export business. But what exactly will this trade deal mean for your business?
For UK exporters: India has removed or reduced tariffs on 90% of its tariff lines for UK products; 64% of products will become duty-free immediately, covering about £1.9 billion of current UK exports. Over time, 85% of products will become duty-free.
For Indian exporters: duty-free access for 99% of Indian exports to the UK.
For consumers: wider choice and better access to goods, services and innovation from both markets.
For supply chains: simpler processes and stronger economic links between two complementary economies.
Optimise your UK/Indian export strategy
If you’re a regular exporter to the Indian subcontinent, or are looking to break into the Indian market, come and talk to our team.
We can explain the benefits of the free-trade agreement and work with you to refine and enhance your export strategy.
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