Kumar Bahukhandi
Commerce Secretary Rajesh Agrawal briefs the media in New Delhi on the India–U.K. Comprehensive Economic and Trade Agreement (CETA) and the Double Contribution Convention (DCC), describing the landmark pact as one of India’s most ambitious and forward-looking free trade agreements ahead of its implementation on July 15, 2026-Photo Credit -ANI
Key factors
- India–U.K. CETA and Double Contribution Convention come into force on July 15, 2026.
- U.K. to eliminate or reduce tariffs on 98.8% of tariff lines, covering 99.5% of India’s trade value.
- Commerce Secretary Rajesh Agrawal calls the agreement a “gold standard” in trade diplomacy.
- Major export opportunities expected for textiles, engineering goods, pharmaceuticals, gems and jewellery, and food products.
- DCC to ease social security contribution issues for Indian professionals working temporarily in the U.K.
- Agreement expected to boost trade, investment, employment, and long-term strategic economic cooperation.
Commerce Secretary Rajesh Agrawal describes the agreement as India’s most ambitious free trade deal, unlocking near-total tariff liberalisation
New Delhi : India and the United Kingdom are set to usher in a new era of economic partnership with the India–U.K. Comprehensive Economic and Trade Agreement (CETA) and the Double Contribution Convention (DCC) coming into force on July 15, 2026. Describing the pact as a “gold standard” in modern trade diplomacy, Commerce Secretary Rajesh Agrawal said on Tuesday July 14, 2026 the agreement ranks among the most ambitious and aspirational free trade agreements ever concluded by India.
Addressing the media in New Delhi, Agrawal highlighted that the landmark pact will significantly enhance bilateral trade, improve market access, and strengthen long-term economic cooperation between the two nations.
Near-Complete Tariff Liberalisation
One of the agreement’s defining features is the United Kingdom’s commitment to remove or substantially reduce tariffs on 98.8% of its tariff lines, covering 99.5% of India’s trade value. This unprecedented level of tariff liberalisation is expected to provide Indian exporters with easier access to one of the world’s largest consumer markets.
The agreement is likely to benefit several labour-intensive sectors, including textiles, garments, leather, gems and jewellery, engineering goods, marine products, food processing, chemicals, and pharmaceuticals, while opening fresh opportunities for Indian businesses to expand their global footprint.
Beyond Goods: A Strategic Economic Partnership
The accompanying Double Contribution Convention (DCC) addresses long-standing concerns related to social security contributions for professionals and employees working across both countries. The provision is expected to reduce the financial burden on Indian professionals temporarily employed in the U.K., making cross-border mobility more efficient and cost-effective.
Officials believe the twin agreements represent a comprehensive framework that extends beyond trade in goods to include investment, services, innovation, and talent mobility.
A Milestone in India’s Trade Strategy
The implementation of CETA reflects India’s evolving approach towards high-quality trade agreements that balance domestic interests with global competitiveness. As global supply chains continue to diversify, the agreement positions India as a stronger participant in international commerce while deepening its strategic relationship with the United Kingdom.
With businesses on both sides preparing to leverage the new opportunities, policymakers expect the pact to accelerate bilateral trade, attract fresh investment, generate employment, and strengthen economic resilience in the years ahead.
(With inputs from channel24india.com New Delhi Bureau )
