The foundation for this landmark agreement was established in May 2021 through the Enhanced Trade Partnership and the adoption of the India-United Kingdom Roadmap 2030, which set the ambitious objective of doubling bilateral trade to 100 billion United States dollars by 2030. The implementation of the agreement represents a major step in India's journey towards becoming a globally integrated, resilient and competitive economy while strengthening long-term economic cooperation with the United Kingdom.
Designed as a people-centric agreement, the trade pact is expected to deliver wide-ranging benefits across multiple sectors of the economy. With the agreement coming into force, Indian exporters will benefit from the complete elimination of United Kingdom tariffs across several key industries, substantially improving their competitiveness in one of India's most important export markets.
Tariffs of up to 70 per cent on processed food products, more than 21 per cent on marine products, around 18 per cent on engineering goods and automobile components, up to 16 per cent on leather and footwear products, and around 12 per cent on textiles and clothing will be reduced to zero. The removal of these duties is expected to create significant new opportunities for farmers, fishermen, micro, small and medium enterprises, and manufacturers while strengthening India's integration into global value chains.
The agreement also delivers substantial advantages for India's services sector. Indian service providers operating in information technology and information technology-enabled services, financial services, healthcare, education, engineering, telecommunications and consultancy services will benefit from enhanced market access and greater regulatory certainty in the United Kingdom, further strengthening bilateral economic engagement.
The implementation of the Comprehensive Economic and Trade Agreement marks a defining moment in India-United Kingdom trade relations. By removing tariff barriers, expanding market access and creating new opportunities for goods and services, the agreement is expected to accelerate economic growth, enhance the global competitiveness of Indian businesses and reinforce the strategic economic partnership between the two nations.
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