India signs historic trade deal with UK, gaining visa, export, and job benefits while shielding key domestic sectors.
Prime Minister Narendra Modi, on a two-day state visit to the UK, has signed a landmark free trade agreement, marking India’s first major trade pact outside Asia. The deal promises zero tariffs on 99% of Indian exports to the UK, benefiting sectors like textiles, gems, food, and engineering goods. In return, Britain will see phased tariff cuts on 90% of its exports to India, including cars, whisky, medical devices, and electronics.
India secured key wins, including work visa concessions, recognition of professional qualifications, and national insurance exemptions for temporary workers. The agreement is projected to boost India’s labour-intensive exports and support over five million related jobs.
Significantly, India excluded agriculture from the deal, protecting over 40% of its workforce. However, Indian producers have expressed concerns over increased competition, particularly in the whisky sector.
Talks on financial services and carbon taxes remain unresolved, and implementation awaits parliamentary approval in both countries, likely by mid-2026. Analysts say the deal reflects India’s growing global stature and Britain’s post-Brexit trade ambitions.
Source: The Guardian
