India-UK FTA opens doors for telecom and IT services

India's telecom and IT firms stand to gain from improved service access, talent mobility, and streamlined digital trade under the CETA.

- BY SHUBHENDU PARTH

In a milestone for cross-border digital cooperation, India and the United Kingdom signed the Comprehensive Economic and Trade Agreement (CETA) on 24 July 2025, unlocking fresh opportunities for India's telecom and IT sectors. The landmark pact, formalised by Commerce Minister Piyush Goyal and UK Secretary of State for Business and Trade Jonathan Reynolds, aims to double bilateral trade to over USD 100 billion by 2030. With significant provisions on services, digital trade, and professional mobility, the agreement is set to benefit Indian enterprises, including telecom exporters, software providers, and mid-sized tech firms seeking regulatory clarity and market access in the UK.

The bilateral trade agreement provides zero-duty access for 99% of India's exports to the UK by tariff lines, covering nearly 100% of the trade value, including labour-intensive sectors that advance the Make in India initiative and set the stage for bilateral trade to double by 2030.

It also provides India with greater market access in sectors critical to the country's digital economy— Information Technology (IT), IT-enabled Services (ITeS), financial and legal services, business consulting, education, telecom, architecture, engineering, and digital trade.

SERVICE MARKET ACCESS FOR TELECOM AND DIGITAL TRADE

For India's telecom and digital infrastructure companies, the CETA opens new service market opportunities in the UK and creates regulatory certainty for cross-border digital trade. As part of its ambitious services package, the UK has committed to easing entry barriers for Indian professionals, including those in the telecom and IT sectors, under simplified visa and mobility schemes. This includes business visitors, independent professionals and intra-corporate transferees such as software engineers and network planners.