LONDON— Indian Prime Minister Narendra Modi and British Prime Minister Keir Starmer met with business leaders from both nations on Thursday following the signing of the historic India-UK Free Trade Agreement (FTA). The two leaders called on industry captains to fully capitalize on the opportunities presented by the newly signed Comprehensive Economic and Trade Agreement (CETA), which aims to strengthen trade, investment, and innovation partnerships between the two countries.
The prime ministers toured an exhibition showcasing flagship products and innovations from India and the UK, highlighting sectors poised for growth under the agreement.
“Deepening the business and investment connection,” Ministry of External Affairs spokesperson Randhir Jaiswal posted on X. “PM Narendra Modi and PM Keir Starmer met with business leaders from India and the UK following the signing of the historic India-UK Comprehensive Economic and Trade Agreement. Leading industry captains from both sides were present. Both leaders encouraged them to realize the full potential of opportunities flowing from CETA.”
Jaiswal noted that the exhibition featured a wide range of goods from both countries—including gems and jewelry, engineering products, premium consumer goods, and cutting-edge technological solutions—underscoring the tangible benefits of the trade pact.
Earlier in the day, the agreement was formally signed by Indian Commerce and Industry Minister Piyush Goyal and UK Secretary of State for Business and Trade Jonathan Reynolds, in the presence of both prime ministers.
The long-awaited deal is expected to boost bilateral trade by roughly $34 billion annually. Under the agreement, India will reduce tariffs on 90 percent of UK products, while the UK will cut duties on 99 percent of Indian exports. These reductions will significantly ease tariff and regulatory barriers, making goods such as Scotch whisky, gin, luxury cars, cosmetics, and medical devices more affordable in the Indian market.
Speaking after the signing, PM Modi called the FTA not just an economic accord, but “a blueprint for shared prosperity.”
“Today marks a historic day in our bilateral ties,” Modi said during a joint press statement with Starmer. “After many years of hard work, we have concluded the Comprehensive Economic and Trade Agreement. This deal is not only an economic milestone but also a foundation for our collective progress.”
Modi emphasized that Indian textiles, footwear, gems and jewelry, seafood, and engineering goods would gain greater access to the UK market. He added that new opportunities would open up for Indian agriculture and food processing sectors. “This agreement will especially benefit Indian youth, farmers, fishermen, and MSMEs. At the same time, Indian consumers will gain access to more affordable UK products like medical devices and aerospace parts,” he said.
Prime Minister Starmer hailed the deal as the most significant trade agreement the UK has signed since leaving the European Union. He said it would boost wages, raise living standards, and bring tangible benefits to working-class families.
“This deal will benefit both our countries. It’s good for jobs and businesses—cutting tariffs, making trade cheaper, quicker, and easier,” Starmer said. “It will help British workers in high-tech manufacturing, whiskey distillers in Scotland, and service sector professionals in London, Manchester, and Leeds. And for consumers, it means lower prices on Indian goods like clothing, footwear, and food.”
According to Starmer, the agreement is expected to add £4.8 billion annually to the UK economy, £2.2 billion to wages, and deliver hundreds of millions of pounds to regional economies across the country.
“I believe this is one of the most comprehensive trade deals India has ever signed, and certainly the most economically significant agreement the UK has concluded post-Brexit,” Starmer added. “Thank you, Prime Minister Modi, for your leadership and pragmatism, and thanks to everyone who worked so hard to bring this deal to fruition.”
Earlier in the day, Modi also met with Starmer at the Chequers Estate, the British prime minister’s official country residence. The Prime Minister’s Office later posted on X: “PM @narendramodi held fruitful talks with UK PM @Keir_Starmer following the successful signing of the India-UK Comprehensive Economic and Trade Agreement (CETA).”
The statement noted that the agreement strengthens economic ties across multiple sectors, including textiles, footwear, gems and jewelry, engineering goods, agriculture, and processed foods. It also marked the unveiling of Vision 2035, a long-term framework to enhance the India-UK Comprehensive Strategic Partnership in key areas such as defense, education, semiconductors, sustainable development, and people-to-people connections.
Prime Minister Modi is on a two-day official visit to the UK at the invitation of Prime Minister Starmer. Upon his arrival, he received a warm welcome from members of the Indian community. (Source: IANS)
