India-UK Trade Deal: India-UK agreement may come into effect from April 2026, trade expected to increase

India-UK Trade Deal: Free trade agreement between India and United Kingdom may come into effect soon. This agreement, signed in July 2025, is expected to come into effect from April 2026. For this, the necessary processes have almost been completed in both the countries. According to government sources, discussions on this are going on in the British Parliament. After getting cabinet level approval, India is also preparing to implement it. It is believed that this agreement will be beneficial for the business of both the countries.

With this deal, tax on Indian goods coming to UK will be reduced. Textile, footwear, jewelery and toy industries will directly benefit from this. Duty on almost 99% Indian products is expected to be abolished. India will also reduce tax on goods imported from UK. This will especially provide relief from the heavy duty imposed on Scotch whiskey and vehicles. These taxes may reduce significantly in the next few years.

There has also been an agreement on double contribution between the two countries. With this, people working abroad will be saved from paying twice for pension and social security. Currently, there is trade between India and UK worth about $56 billion. The government aims to double this amount by 2030. This agreement is expected to increase investment and create new employment opportunities.