"New Gold Standard": British High Commissioner Lindy Cameron as historic India-UK FTA comes into force

Addressing a press conference on the agreement's implementation, Cameron said the FTA would deliver broad-based benefits across sectors by reducing tariffs, improving market access and making it easier for businesses of all sizes to operate in each other's markets.

"The UK-India FTA has come into effect today. It is a really exciting day and a historic moment for the modern UK-India partnership," Cameron said, adding that the agreement is expected to increase bilateral trade by more than GBP 25 billion annually in the long run while boosting the combined GDP of both countries by nearly GBP 5 billion

Cameron pointed out that import duties on Scotch whisky have been reduced from 150 per cent to 75 per cent from Wednesday and will decline further over time, making premium Scottish whisky significantly more affordable in India. Similarly, import duties on premium UK-built cars will begin falling under a new quota system, making iconic British automobile brands more accessible to Indian buyers.

Calling the agreement "the new gold standard of trade deals," Cameron said it is the most ambitious free trade agreement either country has implemented to date, covering 30 chapters on goods, services, procurement and other areas. She added that around 99 per cent of Indian goods entering the UK and approximately 90 per cent of tariff lines for UK exports to India would now benefit from duty-free or reduced-tariff access.

Infrastructure, clean energy, financial services, manufacturing, creative industries and consumer goods are among the sectors expected to gain significantly as the landmark India-UK Free Trade Agreement (FTA) came into effect on Wednesday, reducing tariffs, expanding market access and easing business mobility between the two countries, Cameron said.

She said the enthusiasm surrounding the agreement had been evident among companies across the United Kingdom, ranging from large corporations to micro, small and medium enterprises (MSMEs). During a UK-wide roadshow held across six cities, British businesses expressed optimism about expanding into India as the deal lowers trade barriers and creates fresh export opportunities.

Cameron cited examples of companies that now see India as a major growth market, including a Manchester-based manufacturer of dyes used in plastic bottles and a copper products company expecting reduced tariffs to make its products more competitive in India.

"This deal has a net positive effect on both our economies and on wages, which has remained a priority for both governments," she said.

Highlighting the complementary nature of the two economies, Cameron said the agreement combines Britain's strengths in design, sustainability and innovation with India's scale, ambition and rapid infrastructure development. She noted that improved business mobility under the FTA will make it easier for engineers, consultants and professional services firms from both countries to collaborate on major projects.

The agreement also opens government procurement markets, allowing UK companies easier access to India's central procurement market, valued at around GBP 38 billion annually, while guaranteeing Indian firms access to UK procurement opportunities. She said this would particularly benefit urban infrastructure projects, where lower tariffs on specialist equipment, engineering solutions and innovative technologies would make British products more competitive.

According to Cameron, the agreement provides greater certainty for financial services firms, including banks, insurers and fintech companies, while strengthening collaboration in creative industries by protecting intellectual property rights for Indian animation studios and UK game developers.

She added that clean energy would be another major beneficiary, with 98 per cent of environmental and green goods being liberalised. This would support India's energy transition while boosting UK exports of turbines, generators and renewable energy components. (ANI)