India–UK Comprehensive Economic And Trade Agreement (‘CETA’)
Overview
- CETA between India and the United Kingdom(‘UK’) comes into force from July 15, 2026.
- Zero-duty access for 99% of India’s exports to UK covering nearly 100% of trade value.
- Double Contribution Convention extended to 5 years.
- Strong safeguards for India’s sensitive sectors.
- Major boost to services, talent mobility, and MSMEs.
Key Takeaways
1. Tariff Reset
- 99% of Indian exports to the UK at zero duty.
- Duty on marine products, processed foods, textiles, leather, engineering goods, auto components and chemicals, reduced to zero.
- India opens 89.5% tariff lines with safeguards for sensitive sectors.
Impact: Cost competitiveness for Indian exporters strengthening India’s integration into global value chains.
2. Services & Digital Trade
- Market access across all major service sectors and 137 service sub-sectors including IT and ITES, financial services, healthcare, education, telecommunications and consultancy services.
- Strategic partnership to push growth of Global Capability Centres (‘GCCs’) to serve UK companies.
Impact: India’s services sector to benefit from enhanced market access and greater regulatory certainty.
3. Mobility Provisions
- Easier entry for professionals; no Economic Needs Test.
- Double Contribution toward social security eliminated for stays upto 5 years.
Impact: Impetus to cross-border talent deployment.
4. Simpler Trade Compliance
- Self-certification of origin of products to reduce time and paperwork.
Impact: Faster trade flows, but higher scrutiny on origin compliance.
Sources: Press releases by Ministry of Commerce and Industry regarding India-UK CETA on Jul 29, 2025 and Jun 17, 2026