The FTA is expected to benefit Indian exports from tariff and will make it easier for British firms to export whisky, car and other products to India.

Union Minister Piyush Goyal and his British counterpart Jonathan Reynolds sign the Free Trade agreement in the presence of Prime Minister Narendra Modi and his British counterpart Keir Starmer, at Chequers on Thursday (July 24, 2025).

The FTA was signed at Chequers, the British Prime Minister’s official country residence. External Affairs Minister S. Jaishankar, U.K. Chancellor Reeves also present at the signing ceremony.

British firms to export whisky, cars and other products to India besides boosting the overall trade basket, according to officials.

The deal, firmed up after three years of negotiations, is expected to ensure comprehensive market access for Indian goods across all sectors and India will gain from tariff elimination on about 99% of tariff lines (product categories) covering almost 100 per cent of the trade values, they said.

The U.K. said Indian consumers will benefit from improved access to the best British products — from soft drinks and cosmetics to cars and medical devices — as average tariffs will drop from 15% to 3% after the FTA kicks in.

Source: Thehindu