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Market: UK-India FTA in force from 15 July

Fiinews by Fiinews
July 16, 2026
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India is one of British Airways’ most important markets, says Wright

The UK-India Free Trade Agreement (FTA), one of the biggest trade deals of modern times, has come into force on 15 July 2026, and would boost bilateral trade with consumers enjoying cheaper, quicker, and easier access to the best of British and Indian products and services across both countries. The two countries total trade was £48 billion in 2025.

The package contained goods from the UK benefitting from reduced tariffs, including cosmetics, food products, and alcoholic beverages.

Harjinder Kang, His Majesty’s Trade Commissioner for South Asia and British Deputy High Commissioner for Western India, said, “This is a watershed moment for the UK-India partnership. As the landmark trade deal comes into force, what better than having select British products arriving in one of the very first UK flights into India this morning – with thanks to support from British Airways. Our landmark trade deal is designed to benefit businesses and consumers from day one with cheaper, quicker and easier trade. We are all excited to take full advantage of it.”

David Wright, British Airways’ General Manager in India, said: “India is one of British Airways’ most important markets and we have a long history of connecting people, businesses, and cultures across the UK and India. With 63 flights each week going up to 70 by the end of summer, we play an important role in strengthening economic and cultural ties between our two countries.

“The UK-India Free Trade Agreement marks a significant milestone in the relationship between the UK and India and reinforces the long-term potential of one of the world’s most dynamic international corridors. We are proud to support this landmark agreement and the opportunities it will create for trade, investment and tourism.

“As the UK’s flag carrier, we look forward to deepening our links with India and connecting customers and communities across our global network for years to come.”

Starting 15 July 2026, 99% of Indian goods entering the UK and 90% of UK goods entering India will either be duty free or reduced in tariffs. It will benefit a wide range of sectors on both sides including automotive, manufacturing, consumer goods, creative industries, and medical technology as it marks the biggest milestone in the bilateral economic partnership.

In the long run, the deal is expected to boost bilateral trade by £25.5 billion, Indian GDP by £5.1billion, and UK GDP by £4.8billion every year, the British High Commission in New Delhi said. fiinews.com

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