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India and UK Sign Historic Free Trade Agreement (FTA).

Economy & Business | Dated: 07&08 Dec 2025

India and the United Kingdom have officially signed the long-awaited Free Trade Agreement (FTA) in London. The deal aims to double bilateral trade to $100 billion by 2030. It significantly reduces tariffs on Indian textiles, leather, and jewelry exports to the UK, while allowing greater market access for UK services and automobiles in India.

🎯 Key Highlights:

  • The agreement includes a specific chapter on facilitating the movement of skilled professionals, particularly in the IT and healthcare sectors.
  • Duties on Scotch whisky imports to India will be reduced from 150% to 75% over a period of 5 years.
  • This is India's first comprehensive FTA with a G7 nation.

💡 Other Important Facts:

  • Agreement: India-UK FTA.
  • Trade Target: $100 Billion by 2030.
  • Key Sector: Textiles, Auto, Services.

📚 Test Your Knowledge:

India recently signed a Free Trade Agreement (FTA) with which G7 nation to boost trade to $100 billion by 2030?

Correct Answer: United Kingdom

🚀 Quick Recap:

About United Kingdom

  • PM – Keir Starmer
  • Capital – London