The apparel industry has welcomed the signing of the India–United Kingdom Free Trade Agreement (FTA), describing it as a transformative move for bilateral trade. The deal was finalized during Hon’ble Prime Minister Shri Narendra Modi’s UK visit and was praised by Shri Sudhir Sekhri, Chairman of the Apparel Export Promotion Council (AEPC), who acknowledged the Prime Minister and Union Commerce Minister Shri Piyush Goyal for their leadership in securing the agreement.
Calling it a “milestone for India–UK strategic and economic ties,” Shri Sekhri emphasized the FTA’s potential to accelerate garment trade, enhance market access, and generate employment in India’s apparel sector. He noted that the agreement would help businesses from both nations thrive by simplifying compliance, reducing duties, and ensuring smoother customs procedures through mutual recognition of standards.
With duty-free access for Indian apparel products to the UK, the industry expects a renewed momentum in exports. Shri Sekhri added that this development reflects a shared commitment between the two nations to deepen cooperation and foster reliable trade partnerships.
The UK, a major fashion hub, was the world’s 5th largest garment importer in 2024, sourcing apparel worth USD 19.7 billion. India, with exports valued at USD 1.2 billion that year, ranked among its top four suppliers, mainly shipping cotton-based garments like t-shirts, dresses, and babywear.
Currently, India faces a 9.6% duty on most garment exports to the UK. The FTA is expected to eliminate this barrier and support India’s push to expand its presence, particularly in high-potential areas like winter wear and man-made fiber (MMF) garments where competitiveness has been a challenge.
