India-UK Trade Pact Poised for Implementation in May, Commerce Secretary Indicates

India and UK Free Trade Agreement Expected to Come into Force in May

India and the UK Free Trade Agreement (FTA), signed in July last year, is likely to come into force from May, according to Commerce Secretary Rajesh Agrawal. This agreement, also known as the Comprehensive Economic and Trade Agreement (CETA), will provide duty-free access to 99% of Indian exports in the British market. In return, tariffs on British products such as cars and whisky will be reduced in India.

A key feature of the agreement is the reduction of tariffs on British products. The FTA will also provide duty-free access to 99% of Indian exports in the British market, which will give Indian businesses a significant boost in exports.

| FTA | Indian Export Duty-Free Access | Tariff Reduction on Imported Products | | --- | --- | --- | | UK | 99% | Cars, Whisky, and Other Products |

In addition to the UK FTA, India and Oman signed an FTA in December last year, which will provide duty-free access to 98% of India's exports, including textiles, agri, and leather goods. In return, India will reduce tariffs on Omani products such as dates, marbles, and petrochemical items.

The Commerce Secretary expressed hope that the FTA with Oman will come into force by June 1. India also expects to sign a trade deal with New Zealand on April 27, which will provide tariff-free access for Indian goods in the New Zealand market and attract up to USD 20 billion in investment over the next 15 years.

The goal of the India-New Zealand FTA is to double bilateral trade to USD 5 billion over the next five years. The pact will also provide opportunities for Indian businesses to increase their exports to New Zealand.

Furthermore, the Commerce Secretary stated that the "mother of all trade deals" - the India-EU FTA - is expected to be signed within this calendar year. The aim is to get the pact into operation before the end of this financial year.

Once all these pacts come into operation, Indian businesses will see an increased opportunity for exports. The proposed trade pact with Canada is also on track, with the next round of negotiations scheduled to take place in May.