UK, India Forge Sweeping Free Trade Pact
(MENAFN) In a significant economic move, the United Kingdom and India finalized a sweeping free trade agreement on Thursday, marking what British Prime Minister Keir Starmer called a “historic day” and a “major win for Britain.”
Following the official signing, Starmer emphasized the deal’s economic impact, highlighting its potential to generate employment, widen commercial prospects, and stimulate nationwide economic expansion.
“Our landmark trade deal with India is a major win for Britain. It will create thousands of British jobs across the UK, unlock new opportunities for businesses, and drive growth in every corner of the country, delivering on our Plan for Change,” he said.
“We’re putting more money in the pockets of hardworking Brits and helping families with the cost of living, and we’re determined to go further and faster to grow the economy and raise living standards across the UK,” he added.
Indian Prime Minister Narendra Modi described the UK and India as “natural partners” and declared the deal as a milestone in bilateral relations, stating that the nations are “writing a new chapter” in their shared history.
Key provisions of the agreement include a dramatic reduction in trade barriers. India’s average tariff on British goods will plummet from 15% to just 3%, significantly easing market entry for UK exports.
A wide range of British sectors—from automotive and medical equipment to beverages and cosmetics—stand to gain from the improved terms. Notably, the UK’s whisky industry is poised for a windfall. Import duties on British whisky will be slashed from 150% to 75% immediately, with a phased reduction to 40% over ten years, giving UK distillers a considerable edge in the global marketplace.
A UK government release projects the deal will generate nearly £6 billion (equivalent to over $8 billion) in fresh investment and export opportunities. This surge is expected to create more than 2,200 jobs across the UK, fueled by Indian business expansion in Britain and increased British trade in India.
Alongside the trade agreement, both countries have endorsed a revitalized comprehensive and strategic partnership. The broader pact aims to intensify collaboration across defense, education, climate initiatives, technological development, and innovation.
Additionally, the UK and India have committed to enhancing law enforcement cooperation. Plans include heightened joint efforts to combat corruption, organized crime, serious fraud, and irregular migration. As part of this initiative, both governments aim to finalize a criminal records sharing agreement to strengthen enforcement of travel bans and maintain updated watchlists.
Legal Disclaimer:
EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.
