UK Trade deal to boost Indian economy by $34 billion, here’s what gets better

In a historic move, India and the United Kingdom have signed a landmark Free Trade Agreement (FTA), projected to boost bilateral trade by $34 billion annually. Sealed in London during Prime Minister Narendra Modi’s visit, the agreement marks India’s most ambitious trade deal in over a decade and the UK’s first major post-Brexit partnership.

Commerce Minister Piyush Goyal and UK Business Secretary Jonathan Reynolds formalised the deal, hailed as a "roadmap for shared prosperity" by both governments.

What Gets Cheaper for Indians?

Indian consumers are set to benefit as import duties will drop on a range of British goods. Items like whiskey, chocolates, cars, cosmetics, aerospace parts, and medical devices will see tariffs fall from 15% to just 3%, making them more affordable in the Indian market.

Indian Exports Get a Global Boost

Indian products such as textiles, gems & jewellery, seafood, processed foods, leather, and engineering goods will now enjoy near-zero duty access in the UK. Experts predict a 40% rise in chemical exports, doubling of engineering shipments by 2030, and 20% annual growth in software services.

Opportunities for Indian Professionals

A key highlight is eased visa rules and social security waivers for Indian professionals working short-term in the UK. The deal opens doors in 35 sectors for freelancers, chefs, yoga instructors, IT experts, and more, benefiting over 60,000 professionals annually.

A New Era of Trade & Talent

With promises of lower prices, increased exports, job creation, and mutual investments, the India-UK trade deal is not just a win on paper, it’s a strategic leap forward for two dynamic economies shaping their post-pandemic futures.