India and the United Kingdom: Comprehensive Strategic Partnership and the CETA trade agreement

Background

At the India-UK Summit held in virtual mode on 4 May 2021, the two Prime Ministers agreed to a new and transformational India-UK 'Comprehensive Strategic Partnership' and an ambitious India-UK Roadmap 2030 to steer cooperation for the next ten years.
The groundwork was laid in May 2021 through the Enhanced Trade Partnership and the adoption of the Roadmap 2030, which set the goal of elevating ties to a Comprehensive Strategic Partnership and doubling trade to USD 100 billion by 2030.
Negotiations for an India-UK Free Trade Agreement began in January 2022. After fourteen rounds, the Comprehensive Economic and Trade Agreement (CETA) was concluded on 6 May 2025 and signed in London on 24 July 2025 by India's Commerce and Industry Minister and the UK's Secretary of State for Business and Trade.
The companion Double Contribution Convention (DCC), the agreement on social security contributions, was signed on 10 February 2026. CETA and the DCC entered into force together on 15th July 2026.
CETA provides unprecedented duty-free access to 99 per cent of India's exports to the UK, and 91 % of UK's exports, covering nearly 100% of the trade value, with labour-intensive sectors such as textiles, leather, marine products, gems and jewellery and toys among the gainers.
Under the DCC the exemption period for Indian workers from UK social security contributions was increased from 3 years to 5 years.
The UK has a large Indian diaspora of 1.864 million as per 2021 Census, about 2.6% of the UK's total population, and 3,69,000 persons there hold an Indian passport. A Young Professionals Scheme offers 3000 visas every year to graduates aged 18-30 for a two-year stay.
India and the United Kingdom are both members of the Commonwealth, whose Secretariat is headquartered in London, and the United Kingdom is one of the five permanent members of the UN Security Council.