Goods Worth $140 Million Exported on Day 1 of India-UK Free Trade Agreement

Marking a historic milestone in international trade relations, the Comprehensive Economic and Trade Agreement (CETA) between India and the United Kingdom (UK) officially came into effect on Wednesday. Proving the immediate impact of this landmark Free Trade Agreement (FTA), the Union Ministry of Commerce announced that India successfully dispatched 50 distinct commodity shipments valued at $140 million (~₹1,350 crore) to the UK on the absolute first day of its implementation.

Hailing this new chapter in bilateral relations, Prime Minister Narendra Modi expressed high optimism, stating that the agreement will provide a powerful structural boost to Indian farmers, entrepreneurs, and Micro, Small, and Medium Enterprises (MSMEs) while generating substantial new employment opportunities.

Zero-Tax Market Access Sparks Export Optimism
The implementation of the FTA fundamentally alters the competitive landscape for Indian exporters by granting ‘zero-tax’ duty-free access to the lucrative British market across a wide array of key sectors. These highly benefited industries include:

– Textiles and Ready-made Garments
– Handicrafts and Handlooms
– Engineering Goods and Machinery
– Marine and Seafood Products
– Gems and Jewellery

Reflecting this immediate tariff advantage, Indian gem and jewellery exporters shipped gold and diamond jewellery worth approximately $10 million (~₹96 crore) to the UK on Day 1 alone. Capitalizing on this momentum, the Gem & Jewellery Export Promotion Council expressed immense confidence that annual exports in this vertical alone will scale up to $2.5 billion (~₹24,000 crore) within the next three fiscal years.

Frictionless Logistics and Digital Processing
To ensure that the rollout caused zero disruptions for businesses, the government established optimized administrative mechanisms at major shipping terminals.

Commerce Secretary Rajesh Agrawal stated that extensive operational arrangements were successfully executed prior to the launch date. Consequently, exporters experienced a completely seamless workflow with frictionless customs clearance and instantaneous, hassle-free processing of digital certificates of origin right from the very first hour of the treaty going live.