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Brinks Report > Blog > World > India-UK Free Trade Pact Signed, Giving Indian Farmers an Edge Over Europe
World

India-UK Free Trade Pact Signed, Giving Indian Farmers an Edge Over Europe

Dolon Mondal
Last updated: July 24, 2025 5:13 pm
Dolon Mondal
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India and the UK just signed a historic Free Trade Agreement (FTA) in London. It’s called the Comprehensive Economic and Trade Agreement. The goal? To double trade between the two nations by 2030.

The pact was signed by Commerce Minister Piyush Goyal and British Trade Minister Jonathan Reynolds. Both Prime Minister Modi and UK PM Keir Starmer were present for the moment.

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This is a proud moment for India. Let’s break it down.

What’s in it for India?

  • Indian farmers will gain the most. Agricultural and processed food products from India will now get duty-free access in the UK.
  • Key farm items like turmeric, pepper, cardamom, mango pulp, pickles, and pulses will now enter British markets without any extra tax.
  • This means more profits for Indian farmers and a bigger global reach for their products.
  • India’s fisheries sector also benefits. Exports like shrimp, tuna, fishmeal, and feeds will be duty-free.
  • Labour-heavy industries such as leather, footwear, and clothing will find it easier to export.
  • Overall, this deal will boost India’s rural economy and job creation.

What’s coming into India?

  • UK exports to India like whiskey, cars, and medical devices will now be cheaper.
  • But India has made sure its local farmers are safe.
  • There are no tariff cuts on sensitive items like milk, apples, oats, and edible oils.
  • This means local farmers won’t face unfair competition.

Also Read India-UK Free Trade Deal Signed After 3 Years: Who Benefits Most?

PM Modi’s Message

After signing the India-UK Free Trade Pact, PM Modi said it will:

  • Lower the cost of doing business
  • Build confidence among investors
  • Add to global stability and growth

He also thanked UK PM Starmer for standing by India after the Pahalgam terror attack, calling it an important moment of friendship. Modi also offered condolences over the UK plane crash victims in Ahmedabad.

UK’s Take

UK PM Keir Starmer called the pact “historic.”
He said:

  • It will raise wages and living standards in both countries
  • It will benefit UK’s whiskey distillers
  • British people will enjoy cheaper Indian clothes, shoes, and food

What’s Next?

After London, PM Modi will visit the Maldives. This trip is seen as a breakthrough in ties, which were tense earlier under President Mohamed Muizzu.

Also Read India-UK Trade Deal to Be Signed; Big Gains for Shoppers and Markets

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