The Trade Promotion Council of India (TPCI) has lauded the recently signed India-UK Free Trade Agreement (FTA) as a “landmark economic achievement.” Describing it as “visionary,” TPCI Chairman Mohit Singla said the agreement is poised to open up new avenues for Indian exporters across multiple sectors.
He highlighted that the FTA will promote the growth of globally competitive Indian brands, boost rural development, and advance India’s integration into global value chains.
Total Bilateral Trade: $23.1 billion
Indian Exports: $14.5 billion (up 12.4%)
Indian Imports: $8.6 billion (up 2.3%)
Trade Surplus: $5.9 billion
These robust figures reflect a growing and balanced trade relationship between India and the United Kingdom.
The FTA includes a significant win for Indian agriculture. The UK has granted zero-duty market access to over 95% of Indian agricultural and processed food products, which could dramatically improve India’s market share.
Fruits & Vegetables
Cereals
Coffee, Tea & Spices
Oilseeds
Alcoholic Beverages
Ready-to-Eat Packaged Foods
According to Trade Promotion Council of India (TPCI) , this provision could boost India’s agricultural exports to the UK by over 20% within the next three years.
In a game-changing move for Indian marine exporters, the FTA grants them tariff parity with key EU countries like Germany and the Netherlands. The UK’s $5.4 billion seafood market will now be duty-free for Indian exporters.
Andhra Pradesh
Odisha
Kerala
Gujarat
Tamil Nadu
This is expected to enhance livelihoods and export revenue for India’s coastal communities.
The FTA is not limited to goods—it also makes crucial provisions for services and professional mobility. According to Ashish Kumar Chauhan, MD & CEO of the National Stock Exchange (NSE):
“Indian professionals working in the UK will be exempt from paying social security tax for up to three years,”
saving nearly ₹4,000 crore annually for the Indian workforce.
Furthermore, the new visa framework under the FTA enables longer professional stays, easing business continuity and talent exchange between the two nations.
The engineering sector, too, is optimistic about the deal. The Engineering Export Promotion Council (EEPC) India stated that the UK saw an 11.7% growth in engineering trade during FY2024–25.
With the elimination of tariffs up to 18% on critical engineering items, export competitiveness is expected to increase.
“It is a strategic breakthrough that will energise the sector, particularly MSMEs, and strengthen India’s role in global supply chains.”
Projections indicate that engineering exports to the UK could double to over $7.5 billion by FY2029–30.
This FTA also sets a benchmark for India’s upcoming trade negotiations with other economic powerhouses, including the United States, European Union, and Japan. Its comprehensive nature, covering goods, services, agriculture, and labour mobility, reinforces India’s vision of becoming a pivotal player in global trade networks.
The India-UK Free Trade Agreement signifies more than just tariff reductions—it represents a bold stride toward deepening economic cooperation between two democratic and service-driven economies. By securing greater market access, eliminating key trade barriers, and enabling talent mobility, the FTA aligns well with India’s broader goals of becoming a global export hub and a manufacturing powerhouse.
With expected surges in agriculture, seafood, engineering, and professional services, the deal has the potential to transform India's trade trajectory with the UK and inspire similar strategic pacts with other global players.