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A win-win deal
Financial Express Kolkata
|July 25, 2025
India-UK CETA could serve as a template for inking other equally ambitious deals
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India and the UK have signed a landmark Comprehensive Economic and Trade Agreement (CETA)—in the presence of India's Prime Minister Narendra Modi and his UK counterpart Keir Starmer—that is balanced, comprehensive, and mutually beneficial to both nations.
A big advantage of this deal between the world's fifth and sixth largest economies is that it will serve as a template for India inking equally ambitious trade deals with the European Union and other developed nations, including the US.
Considering the long historical association, Indo-UK trade and investment ties have so far been somewhat underwhelming. The CETA could be a game changer in this regard as bilateral trade in goods and services is expected to increase by $34 billion each year from current levels of $56 billion.
India has a trade surplus of $11 billion. This is a win-win deal as India secures preferential access to one of the world's most affluent markets while the UK accesses the market of the fastest-growing large economy.
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