Daijiworld Media Network – London
London, Jul 24: In a landmark diplomatic and economic development, Indian Prime Minister Narendra Modi landed in London today for a high-profile visit during which the long-anticipated India–UK Free Trade Agreement (FTA) is set to be formally signed. Accompanying the Prime Minister is Commerce and Industry Minister Piyush Goyal, who will co-sign the deal with his British counterpart.
The agreement marks the conclusion of three years of rigorous negotiations, officially wrapped up on May 6, and is touted as one of the UK’s most significant trade pacts post-Brexit.

According to official sources, the FTA will eliminate tariffs on Indian exports such as leather, textiles, footwear, and garments, providing a significant boost to India’s labour-intensive sectors. In return, imports of British whisky, premium automobiles, and other goods will become more affordable for Indian consumers.
The trade deal is expected to double bilateral trade to USD 120 billion by 2030. While the Indian Cabinet has already cleared the agreement, it now awaits ratification by the British Parliament to come into force.
As per the commerce ministry, 99% of Indian products will receive duty-free access to the UK, covering nearly the entirety of the current trade volume.
In a notable parallel announcement, both nations have agreed on a double contribution convention, providing social security relief for Indian professionals working in the UK. This arrangement will exempt employers from paying additional social security contributions on behalf of Indian employees posted in the UK — a longstanding demand by the Indian side.
Trade statistics further reinforce the positive trajectory in economic relations:
• India’s exports to the UK rose by 12.6% to $14.5 billion, while
• Imports from the UK climbed 2.3% to $8.6 billion in 2024–25.
• Bilateral trade rose to $21.34 billion in 2023–24, up from $20.36 billion the previous fiscal year.
Britain continues to be a key investor in India, standing as the sixth-largest investor with a $36 billion portfolio. Nearly 1,000 Indian companies operate in the UK, employing over 1,00,000 people, and contributing $2 billion in investments.
After wrapping up his UK visit, PM Modi will proceed to the Maldives on the invitation of President Mohamed Muizzu, signalling a significant thaw in India-Maldives relations following recent diplomatic friction.
The India–UK FTA not only opens new avenues for trade but also reflects India’s growing stature in the global economic order — a vision actively pursued under PM Modi’s foreign policy doctrine of strategic partnerships and Atmanirbhar Bharat.