India-UK tradeIndia-UK trade deal takes effect today unlocking duty-free export access for Indian goods
The India-UK Comprehensive Economic and Trade Agreement took effect on July 15, 2026, granting duty-free access for Indian exports like textiles and engineering goods while making British cars and whisky cheaper for Indian consumers.
Commerce Secretary Rajesh Agrawal hailed the pact as India's most ambitious future-oriented deal covering digital trade and innovation, which aims to help Indian exporters compete more favorably with shipments from Bangladesh and China.
This milestone marks a significant shift in bilateral economic relations, setting the stage for expanded market access and greater certainty in trade for businesses on both sides.
- The agreement was negotiated over several years following the UK's departure from the European Union in 2020.
- Indian textiles and leather goods are among the top sectors expected to see immediate export growth under the new tariff rules.
- British whisky has historically been a high-value import for India, facing significant tariffs before this agreement.