The newly signed India-UK Free Trade Agreement (FTA) is being hailed as a historic leap forward for India’s economy, with apparel and textiles among the biggest beneficiaries. With tariffs eliminated on 99% of Indian exports, the deal offers Indian manufacturers unprecedented market access in the UK, enabling a surge in exports, job creation, and global competitiveness.
The FTA removes longstanding trade barriers for labour-intensive sectors including apparel, leather, marine products, footwear, and toys—placing India firmly on the path to becoming a global textile hub.
Dr. A. Sakthivel, Chairman of the Apparel Made-Ups & Home Furnishing Sector Skill Council, called the deal a “Himalayan achievement”, thanking PM Narendra Modi and Union Commerce Minister Piyush Goyal for their leadership. “This will energize exports and significantly boost employment across the value chain,” he said.
In addition to goods, the FTA enables service sector growth linked to fashion, retail, and design—offering Indian talent, especially youth and entrepreneurs, new global opportunities. A standout provision is the three-year exemption from UK social security contributions for Indian professionals, allowing better income retention and ease of mobility.
The agreement also enhances India’s strategic alignment with the UK, strengthens its post-Brexit trade footprint, and supports PM Modi’s vision of showcasing Indian craftsmanship and innovation on the global stage.
With wide-ranging benefits, the FTA is expected to accelerate inclusive growth and bolster India’s status as a trusted global trade partner.
