At Chequers, the official country house of the British premier, Britain and India officially signed a landmark free trade agreement during Indian Prime Minister Narendra Modi’s visit. The deal, first announced in May, marks a new chapter in one of the world’s most dynamic economic partnerships.
Under the agreement, India’s average tariff on British products will drop from 15% to 3%. Whisky and gin exports to India will see their tariffs halved from 150% to 75% immediately, with a planned reduction to 40% over the next decade. British automotive imports enter at just 10% tax (within a set quota), down from over 100%. On the flip side, 99% of Indian exports to Britain will face zero tariffs, promising more affordable goods for consumers.
According to the British government, this pact is set to create over 2,200 new jobs across sectors like aerospace, technology, and advanced manufacturing. Workers could see an annual collective wage boost of ÂŁ2.2 billion (about $3 billion), while shoppers stand to benefit from cheaper clothes, shoes, and food.
Long-term forecasts paint an even brighter picture: bilateral trade could surge by nearly 39%, adding an extra £25.5 billion a year by 2040 compared to a no-deal scenario. For businesses and young entrepreneurs, this opens fresh avenues in both markets—from tech startups scaling up to sustainable goods reaching new audiences.
As global citizens tune in, this deal underscores how strategic partnerships can drive growth, create jobs, and expand choices—fueling the ambitions of travelers, changemakers, and entertainment lovers across borders. It’s a real-world example of trade reshaping our interconnected future.
Reference(s):
cgtn.com
