The UK–India Comprehensive Economic and Trade Agreement (CETA) came into force on 15 July 2026. It's the biggest trade deal the UK has signed since leaving the EU, and it changes the numbers for anyone buying from or selling to India.
For UK importers: cheaper goods from India
The UK has removed or reduced tariffs on 99% of goods coming from India. For most importers that means duty-free entry for products that used to pay a tariff, including clothing, footwear, home textiles, leather goods, food and drink, and jewellery.
For a UK fashion or homeware business, that can be a meaningful saving on every shipment. India now competes on duty with Bangladesh, which already enjoys duty-free access under the Developing Countries Trading Scheme. If you've only ever sourced from one country, now is a good time to compare.
For UK exporters: lower Indian tariffs
India has cut or removed tariffs on 90% of tariff lines for UK goods, with 64% duty-free from day one and 85% duty-free over time. Some headline changes:
- Whisky: Indian duty halved from 150% to 75%, falling to 40% over ten years
- Cars: tariffs of 100%+ cut to between 30% and 50%, then to 10% from year five, within a quota
- Salmon and cod: duty cut from 33% to zero straight away
- Medical devices and pharmaceuticals: tariffs phased out, most immediately
- Aircraft parts: now tariff-free
Many cuts are phased in over five, seven or ten years, so check your specific commodity code to see the rate that applies now.
The catch: rules of origin
The lower rates only apply to goods that originate in the UK or India under the agreement's rules, and you must be able to prove it. Goods made in China and shipped via India, for example, won't qualify just because they left from an Indian port.
- Importing from India: you'll need valid proof of origin from your supplier, and the commodity code and preference must be claimed on the import declaration. Get it wrong and HMRC charges the full rate.
- Exporting to India: UK exporters must register once with HMRC through the Origin Registration portal before they can self-certify origin.
Beyond goods
The agreement also covers services and people:
- National Insurance: under the new Double Contributions Convention, staff moving temporarily between the UK and India pay social security in only one country, for up to five years.
- Government contracts: UK firms can now bid for many Indian central government contracts.
- Business mobility: easier temporary access for specialists in areas such as financial services and IT.
What to do now
- Check your commodity codes. The tariff saving depends entirely on the code.
- Talk to your suppliers about proof of origin before your next order.
- Review your sourcing. If you buy textiles, footwear or food elsewhere in Asia, compare landed costs from India now.
- Make sure your forwarder claims the preference on every declaration.
We move sea and air freight from India and clear it in-house. If you'd like us to check whether your goods qualify, get in touch.
Source: Department for Business and Trade, business.gov.uk. General information, correct as of October 2026, not legal or tax advice.