Ceta joins India's expanding trade playbook

A new acronym has entered India's trade vocabulary—Ceta, short for Comprehensive Economic and Trade Agreement—signed with the United Kingdom (UK) on July 24 in London.

- AJAY SRIVASTAVA

The agreement covers 26 areas, including tariffs cuts, services, government procurement, digital trade, and intellectual property. It is expected to significantly boost bilateral trade, which stood at $54.9 billion in FY25, with India running an $11.7 billion surplus. With new openings in goods, services, and investment, two-way trade could surpass $100 billion within the next decade.

But more than being just a trade booster, the agreement signals a shift in India's FTA (free trade agreement) strategy—softening long-held protections in areas like public procurement, auto tariffs, and pharmaceutical licensing.

Here's a look at the key concessions exchanged.