Historic UK-India Trade Pact: A New Era for Global Commerce

Britain and India have finalized a significant free trade agreement after years of negotiations, aiming to boost trade by £25.5 billion by 2040. The pact lowers tariffs, eases trade barriers, and enhances business mobility between the two nations, marking a new chapter in their economic relations.

Britain and India have successfully concluded a long-awaited free trade agreement, marking a significant milestone in economic collaboration between the two nations. The pact, finalized after three years of on-again, off-again negotiations, aims to increase bilateral trade by £25.5 billion ($34 billion) by 2040.

The agreement, hailed as 'ambitious and mutually beneficial' by Indian Prime Minister Narendra Modi, seeks to reduce tariffs and increase market access. British Prime Minister Keir Starmer emphasized the deal's role in strengthening alliances and reducing trade barriers. Notably, whisky tariffs will drop significantly over the next decade, and provisions for auto imports and business mobility have been established.

This groundbreaking deal represents Britain's most significant trade agreement since Brexit, reflecting its independent trade policy aspirations. As both countries navigate the changing global trade landscape, this pact sets a precedent for future negotiations with major Western powers and underscores the strategic importance of UK-India relations in the post-Brexit era.

(With inputs from agencies.)