99% Tariff Elimination, Stronger India-UK Bilateral Trade

CETA provides an unprecedented duty-free access to 99 per cent of India’s exports to the UK, covering nearly 100% of the trade value. This includes labour-intensive sectors such as textiles, leather, marine products, gems and jewellery, and toys as well as high-growth sectors like engineering goods, chemicals, and auto components. This will spur large-scale employment generation,  empowering artisans, women-led enterprises, and MSMEs. The agreement includes a wide-ranging package covering Information Technology /IT enabled services, financial and professional services, business consulting, education, telecom, architecture, and engineering that will unlock high-value opportunities and job creation.

The agreement goes beyond goods and addresses services, a core strength of India’s economy. India exported over USD 19.8 billion in services to the UK in 2023, and CETA promises to expand this further In a first by UK,  mobility for professionals across IT,

 

Key exclusions/ protection ensured for Indian Stakeholders

 

Dairy Sector	Cereals	Fruits	Vegetables	Edible Oils	Oil seeds
Products like Milk, Cheese, Butter, Dairy spreads, Ghee	Wheat, Maize, Millets	Apples, Pineapples, Oranges, Pomegranates	Tomato fresh/chilled, Onions, Garlic, Cauliflower, Cabbage, radish, peas, beans, pumpkin, bitter gourd, bottle gourd, lady finger, potatoes, mixtures of vegetable	Soybean oil, palm oil, mustard oil, groundnut oil	Soyabean, Groundnut, Mustard

 

• The agricultural sector also benefits from the non-application of safeguard duties on Indian exports.

 

• Farmers will also benefit from commitments taken under the CETA to acknowledge traditional knowledge, especially in the patent process for genetic resources.

 

• Additionally, the CETA will facilitate inclusive and tech-agnostic innovation across diverse sectors, including agriculture sector.

 

• Collectively, the CETA is expected to ensure higher and more stable incomes for Indian farmers, promote rural prosperity, and secure long-term export opportunities—solidifying India’s place as a key player in global agricultural trade.

• Zero Duty Market Access: The agriculture sector accounts for 1,437 tariff lines, which constitutes 14.8% of all product tariff lines. This indicates a significant presence of agriculture in the trade structure, reflecting the diversity and importance of agri-based goods in tariff regulation. Food Processing accounts for  985 tariff lines, the sector holding a 10.1% share.

 

• Agricultural exports from India were valued at USD 45.05 billion in 2022-23, a rise from USD 41.3 billion in 2020-21 (APEDA).

 

• In agriculture, India exports USD 36.63 billion globally, while the UK imports USD 37.52 billion, but imports just USD 811 million from India, revealing room for growth in high-value agri products.

 

• The UK is a high-value market for niche Indian agri-products such as tea, mangoes, grapes, spices, marine products, etc.

 

Source : Dairynews7x7 July 28th 2025 Download complete report here