Bangalore August 13, 2025: Mr. Harjinder Kang, HM Trade Commissioner, South Asia and British Deputy High Commissioner, Western India addressed a very insightful session on the India – UK Free Trade Agreement at the Bangalore Chamber of Industry & Commerce (BCIC) today.
Commenting on the FTA, Mr Kang said, “Last month the Prime Ministers of the UK and India endorsed a new ‘India-UK Vision 2035’, a reaffirmation of our two countries’ shared commitment to unlocking the full potential of a revitalized partnership. The UK-India Comprehensive Economic & Trade Agreement (CETA) is a major milestone towards realizing this vision. The deal will mutually benefit both nations and promote mobility, innovation, inclusivity, support jobs, boost exports and strengthen cross-border trade and economic growth.”
“The Vision also aligns with the UK’s modern Industrial Strategy which will help businesses overcome barriers to investment across sectors including Advanced Manufacturing, Creative Industries, Clean Energy, Financial Services, Digital & Technology, Defence, Life Sciences, Creative Industries and Professional & Business Services,” he added.
On the occasion Mr Chandru Iyer, British Deputy High Commissioner, Karnataka & Kerala and HM Deputy Trade Commissioner, South Asia (Investment) also addressed the BCIC members on how this strategic partnership can unlock new opportunities for bilateral growth and collaboration.
Talking about the FTA Mr Chandru Iyer said, “Indian-owned companies are already thriving in the UK, driving jobs in high-growth sectors such as aerospace, technology, and advanced manufacturing. Indian businesses are making the most of the UK’s ecosystem and the UK-India CETA will boost this further. I am also very confident that the new Comprehensive Strategic Partnership will see closer partnerships in defence, education, climate, technology, and innovation. The Technology Security Initiative (TSI), signed last year, will lead to increased collaboration in areas including telecom security which will unlock investment across emerging technologies, critical minerals, AI, biotech advanced materials and semiconductors.”
Key Highlights of the Agreement
The India-UK FTA aims to double bilateral trade between the two nations by 2030. Key highlights of the agreement include:
99% Duty-Free Access: Indian goods, including textiles, leather, footwear, marine products, and engineering products, will have zero-duty access to the UK market.
Reduced Tariffs: India will reduce tariffs on 90% of British products, including whisky, gin, cosmetics, and automotive components.
Sectoral Benefits: The agreement will foster mutual growth between the two nations, with benefits for both countries in various sectors.
Potential Impact
The FTA is expected to have a significant impact on both economies:
Job Creation: The agreement may support job creation in India, particularly in labor-intensive sectors.
Technology Transfer: The FTA may promote technology transfer, investment, and innovation across various sectors.
Increased Participation: The agreement may act as a catalyst to boost Indian participation in IT, finance, and digital trade services through commitments on services and professional mobility.
Commenting on the same, Mr Prashant Gokhale, President, BCIC said, “The India-UK FTA is a landmark deal that will usher in a new era of cooperation and mutual growth between the two nations. We believe that this agreement will have a significant impact on our economies and will support job creation, technology transfer, and innovation.”
“With its potential to double bilateral trade by 2030, this agreement is expected to have a lasting impact on both economies,” he added.
CA K. Ravi, Senior Vice President, BCIC and Chairman of the International Business Expert Committee said, “Lowering trade barriers and fostering sectoral collaboration could create fresh opportunities for industries such as manufacturing, services, and technology, while boosting competitiveness and attracting new investments. For Karnataka, with its thriving sectors in aerospace, IT services, advanced manufacturing and renewable energy, this agreement could unlock unprecedented opportunities for collaboration and market access.”
