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India and UK sign historic Free Trade Agreement (FTA) to boost bilateral trade.

International News | Dated: 27 Nov 2025

India and the United Kingdom have officially signed the long-awaited Free Trade Agreement (FTA) in London. The pact aims to double bilateral trade by 2030. It was signed by India's Commerce Minister and the UK Secretary of State for Business and Trade. The deal covers sectors ranging from textiles and automobiles to services and digital technology.

🎯 Key Highlights:

  • Under the agreement, the UK will eliminate tariffs on 98% of Indian goods, providing a significant boost to Indian exporters, particularly in the textile and leather sectors.
  • India has agreed to reduce import duties on British automobiles and scotch whisky, a major demand from the UK side during the negotiations.
  • The FTA also includes a chapter on easier visa norms for Indian professionals, allowing greater mobility for skilled workers in the IT and healthcare sectors.

💡 Other Important Facts:

  • Goal: Double bilateral trade by 2030.
  • Benefit: Zero tariffs on 98% Indian goods.
  • Key Sector: Mobility for Indian professionals.

📚 Test Your Knowledge:

India recently signed an FTA with which European country to boost trade?

Correct Answer: United Kingdom

🚀 Quick Recap:

About United Kingdom

  • Prime Minister – Keir Starmer
  • Currency – Pound Sterling