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Tuesday, October 6, 2026

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CETA marks beginning of new phase of bilateral relations between India

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Commerce Secretary Rajesh Agrawal has described the India-UK Comprehensive Economic and Trade Agreement (CETA) as a defining milestone in India’s trade journey, saying it establishes a future-oriented economic partnership between two major economies. Briefing Media in New Delhi today, he said the agreement will come into force tomorrow, marking the beginning of a new phase in bilateral trade and investment relations between India and the United Kingdom. 
 
Mr Agrawal said the agreement is among India’s most comprehensive trade pacts, offering broad sectoral coverage while reducing tariff and non-tariff barriers. He added that it safeguards the country’s sensitive sectors, including dairy and agriculture, while expanding market access for Indian goods and services. The Commerce Secretary said the agreement goes beyond conventional trade liberalisation by covering areas such as digital trade, government procurement, innovation, MSMEs, labour and environment. He said the framework is designed to facilitate trade while ensuring that regulatory measures do not become unjustified barriers for businesses.
 
Highlighting the Double Contribution Convention, Mr Agrawal said the arrangement will benefit Indian professionals and their employers by exempting eligible workers on temporary assignments in the UK from paying social security contributions there for the specified period. Further, it will also allow them to continue contributing to India’s social security system.  He said the agreement is expected to create new opportunities for farmers, MSMEs, seafood exporters and labour-intensive sectors. Mr Agrawal added that the government’s focus will now be on ensuring Indian exporters fully utilise the preferential market access available under the India-UK CETA.

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