UK, India sign landmark free trade deal
Baku, July 24, AZERTAC
The UK and India on Thursday signed a major free trade agreement, with British Prime Minister Keir Starmer hailing the deal as a "historic day" and a "major win for Britain," according to Anadolu Agency.
Speaking after the signing ceremony, Starmer said the agreement would boost jobs, expand business opportunities, and drive growth across the UK.
"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 noted.
Indian Prime Minister Narendra Modi described the UK and India "natural partners" and said the two countries are "writing a new chapter" in shared history.
Under the terms of the deal, India’s average tariff on UK goods will drop from 15% to 3%.
British exporters of products ranging from soft drinks and cosmetics to cars and medical devices are expected to benefit significantly from improved access to the Indian market.
Whiskey producers are among the biggest winners.
Tariffs on British whisky will be cut immediately from 150% to 75%, and then further reduced to 40% over the next decade, giving UK distillers a substantial advantage over global competitors.
According to a UK government statement, the deal will create nearly £6 billion (over $8 billion) in new investment and export wins, creating over 2,200 British jobs across the country as Indian firms expand operations in the UK and British companies secure new business in India.
Alongside the trade deal, the two countries have signed a renewed comprehensive and strategic partnership, paving the way for deeper cooperation on defense, education, climate, technology, and innovation.
The UK and India have also pledged to enhance cooperation on law enforcement, including a new focus on tackling corruption, organized crime, serious fraud, and irregular migration.
Plans include finalizing a criminal records sharing agreement to bolster joint efforts in enforcing travel bans and maintaining accurate watchlists.
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