India-UK FTA is game-changer, protects farmers. MSMEs: Piyush Goyal
New Delhi, July 26: Union Commerce and Industry Minister Piyush Goyal on Saturday described the India-UK Free Trade Agreement (FTA) as a "game-changing" pact that will open massive opportunities across sectors, while firmly safeguarding India's sensitive interests.
Signed in the presence of Prime Minister Narendra Modi and UK Prime Minister Keir Starmer on Thursday, the FTA—officially known as the Comprehensive Economic and Trade Agreement—was inked by Goyal and UK Trade Secretary Jonathan Reynolds.
“This agreement is a game-changer. It will benefit farmers, entrepreneurs, MSMEs, youth, and fishermen. Every section of society will gain,” Goyal said while addressing a press conference at BJP headquarters. He added that the deal allows 99% of Indian exports to the UK to enter duty-free.
Goyal underlined that the agreement was finalised on India’s terms, with full protection of key sectors such as agriculture and dairy. “Sensitive items like rice, sugar, dairy, and ethanol were kept out of the purview of duty concessions,” he said.
Referring to previous trade deals under the UPA government, Goyal claimed that India’s markets were opened unfairly in the past. “Earlier FTAs hurt Indian manufacturing by allowing zero-duty imports from competitor countries,” he said.
The minister also highlighted the significance of protecting India’s Geographical Indication (GI) products, such as Kolhapuri sandals, citing the recent issue involving Italian brand Prada. “Under the FTA, India will get rightful credit for its GI-tagged exports,” he stated.
Goyal further noted that the FTA includes a Double Contribution Convention Agreement with the UK, allowing Indian service professionals to contribute to EPFO during short-term UK assignments, benefiting sectors like IT, hospitality, and yoga.
On the issue of the UK’s proposed carbon tax under its upcoming Carbon Border Adjustment Mechanism (CBAM), Goyal termed it a “non-issue” and assured that India will defend its interests robustly. "India is ahead of schedule on its 2030 climate targets. If any measure threatens our trade, we are fully capable of responding,” he said.
