Swapna Kumbar , Bengaluru - The UK-India Free Trade Agreement has officially come into force, marking a major step in bilateral economic ties. The deal cuts or removes tariffs on 99 per cent of Indian goods and 90 per cent of British goods, with the aim of boosting trade, lowering costs and widening consumer choice.

Under the agreement, Indian exporters gain easier access to the UK market, while British businesses benefit from lower barriers in India. The UK says the deal should support growth across both economies and make trade simpler for companies on each side. It is being described as the most economically significant trade pact the UK has signed since leaving the European Union.

For consumers, the agreement could eventually mean cheaper clothes, footwear, food items and other imported goods as tariffs fall. British exports such as whisky, gin, cars, beauty products, medical equipment and aerospace goods are also expected to become more competitive in India. The deal also includes a three-year social security exemption for certain short-term Indian workers in the UK, alongside reciprocal provisions for British professionals in India.

The entry into force follows years of negotiations and preparation, with both governments saying they want businesses ready to use the new terms immediately. Officials have projected stronger bilateral trade over the long term and a meaningful boost to the UK economy. For India, the agreement is also a signal of deeper integration with a major advanced economy and a platform for export growth.

The agreement’s rollout turns a long-negotiated deal into a practical trade framework for both countries. If implementation goes smoothly, the UK-India FTA could become one of the most important commercial links in Asia-Europe trade.