India and UK sign landmark Free Trade Agreement

India and the United Kingdom have signed a historic Free Trade Agreement (FTA), marking a significant milestone in bilateral economic relations. The deal was formalised following three years of negotiations and is expected to unlock multi-billion-pound trade opportunities between the two countries.

The agreement reduces trade barriers and offers major tariff cuts across sectors. UK whisky and other exports will see reduced duties when entering the Indian market, while Indian textiles and jewellery will become more competitive in the UK.

Notably, whisky tariffs will be slashed from 150 percent to 75 percent immediately, with a phased reduction to 40 percent over the next decade, giving UK distillers a competitive edge in India, the world’s largest whisky market by volume.

The deal also includes a joint plan to address illegal migration and deepen cooperation across strategic sectors. Industry leaders in both nations have welcomed the FTA as a growth catalyst that will drive jobs, investment, and stronger economic ties over the coming years. The agreement now awaits final ratification by both governments.