Latest news with #ComprehensiveEconomicTradeAgreement
The Hindu
3 days ago
- Business
- The Hindu
Trade unions, farm outfits demand parliamentary approval of trade treaties
A joint statement by ten Central Trade Unions (CTUs) and the Samyukt Kisan Morcha (SKM) on Monday (August 4, 2025) has demanded a parliamentary review of the Comprehensive Economic Trade Agreement (CETA) signed recently with the United Kingdom. The organisations asked the Union government to reject United States President Donald Trump's 'tariff threats' and assert India's sovereign right to trade with all nations, including Russia. The statement said the India-U.K. CETA must be reviewed and altered immediately, with no ratification in Parliament. 'All negotiations for a U.S.-India trade deal must be halted to prevent further corporate exploitation. No more secret trade agreements — all future deals must undergo full parliamentary scrutiny and public consultation,' the joint statement added. The organisations said East India Company colonised India through trade and today, CETA and U.S. trade deals are the new instruments of corporate imperialism. 'On August 13, farmers and workers will rise in defence of sovereignty and freedom, sending a clear message: We will not let history repeat! Quit India, again,' the statement added. Economic coercion by U.S. Terming the U.S. import tariffs on India as a blatant act of economic coercion, the trade unions and farmers' outfits said the new duties are aimed at dictating India including its trade relations with Russia. 'These aggressive measures expose the hypocrisy of U.S. trade policies, which demand open markets for American corporations while weaponising tariffs to bully sovereign nations,' they said. Alleging that the Centre has surrendered to these threats, the SKM and CTUs said it was further evident in the recently signed CETA, which according to them is a deal that sacrifices the interests of India's farmers, workers, and economic independence at the altar of foreign corporate profits. Compromising India's strategic autonomy 'Instead of firmly rejecting this intimidation, the Central government has responded with silence, signalling its willingness to compromise India's strategic autonomy in favour of U.S.A. This capitulation paves the way for an even more exploitative India-U.S. trade deal, which would grant American agribusiness corporations like Cargill unrestricted access to India's dairy sector, agriculture, resulting in collapsing prices and destroying the farming community along with endangering food security of the nation. It would also trigger de-industrialisation in India and skyrocketing unemployment,' the statement said.
Fibre2Fashion
31-07-2025
- Business
- Fibre2Fashion
IndiaâUK CETA: A boost for India's technical textile exports to UK
The recently signed India–UK Comprehensive Economic Trade Agreement (CETA) by the Hon ' ble Prime Minister of India, Shri Narendra Modi, and the Prime Minister of the United Kingdom, Mr. Keir Starmer, marks a transformative milestone in strengthening economic and trade ties between the two countries. The Indiaâ€'UK CETA, signed by PMs Modi and Starmer, grants 100 per cent duty-free access to Indian exports, boosting sectors like technical textiles. MATEXIL highlights India's edge over China and aims to scale exports from $240 million to $1 billion by 2030. Efforts include market studies, compliance support, and outreach to help exporters tap UK opportunities. The Agreement offers 100% duty-free market access for Indian exports to the UK, covering 99% of the UK's tariff lines, thereby unlocking new opportunities for several sectors, particularly Technical Textiles. Shri Bhadresh Dodhia, Immediate Past Chairman of MATEXIL (Manmade Fibre and Technical Textiles Export Promotion Council), who was part of the High-Powered Business Delegation accompanying Prime Minister Modi to the UK, said ' This historic agreement is poised to open substantial new market opportunities for India's Technical Textiles sector. India will now enjoy a significant competitive edge over China in this domain, as China does not have any FTA with the UK. ' The UK currently imports Technical Textiles worth over USD 7 billion annually. India, with its growing capabilities, can scale up its exports in this segment from USD 240 million at present to over USD 1 billion by 2030. Shri Shaleen Toshniwal, Chairman, MATEXIL, welcomed the CETA and emphasized that key sub-segments such as Agrotech, Geotech, Hometech, Indutech, Packtech, and Sportech are poised for strong growth under the agreement, citing India ' s cost competitiveness and manufacturing strength. Further , he added that ' With the removal of tariff barriers, Indian exporters can now significantly enhance their footprint in the UK across high-potential categories like medical textiles, protective wear, geo-textiles, industrial fabrics, and agro-tech textiles.' India already possesses the technical capability to produce high-performance textiles in line with global standards. The India – UK CETA will allow Indian manufacturers to compete on equal terms with global players in the UK market. MATEXIL, which is entrusted with the export promotion of both Manmade Fibre Textiles and Technical Textiles, is actively collaborating with industry stakeholders and the Ministry of Textiles to: Identify priority export products, Support compliance with UK regulatory and sustainability standards, and Facilitate buyer–seller linkages and certification support. Shri Bhadresh Dodhia further advised exporters that 'Until the agreement is fully implemented, Indian Technical Textile exporters should proactively study UK market requirements, technical standards, and sustainability norms to better position themselves and maximize the benefits of the CETA. ' To support the industry, MATEXIL will soon be organizing outreach programs, B2B meetings, and market intelligence sessions to ensure that Indian exporters are well-prepared to capitalize on the immense opportunities offered under the India – UK CETA. Note: The headline, insights, and image of this press release may have been refined by the Fibre2Fashion staff; the rest of the content remains unchanged. Fibre2Fashion News Desk (HU)
Time of India
31-07-2025
- Business
- Time of India
India eyes $1 billion in technical textile exports to UK by 2030 under new CETA trade deal
India's exports of technical textiles to the UK could rise to $1 billion by 2030 from $240 million now, aided by the India–UK Comprehensive Economic Trade Agreement (CETA) which was signed last week. The UK currently imports technical textiles worth over $7 billion annually. Explore courses from Top Institutes in Please select course: Select a Course Category healthcare Management MCA Technology Leadership Project Management Design Thinking Data Science Healthcare others Cybersecurity Finance Data Science Others MBA Public Policy PGDM Product Management Data Analytics Operations Management CXO Skills you'll gain: Duration: 11 Months IIM Lucknow CERT-IIML Healthcare Management India Starts on undefined Get Details Skills you'll gain: Duration: 11 Months IIM Lucknow CERT-IIML Healthcare Management India Starts on undefined Get Details Skills you'll gain: Duration: 11 Months IIM Lucknow CERT-IIML Healthcare Management India Starts on undefined Get Details 'Key sub-segments such as Agrotech, Geotech, Hometech, Indutech, Packtech, and Sportech are poised for strong growth under the agreement,' said Shaleen Toshniwal, chairman, Manmade Fibre and Technical Textiles Export Promotion Council ( MATEXIL ), citing India's cost competitiveness and manufacturing strength. The agreement offers 100% duty-free market access for Indian exports to the UK, covering 99% of the UK's tariff lines, thereby unlocking new opportunities for several sectors, particularly technical textiles. 'With the removal of tariff barriers, Indian exporters can now significantly enhance their footprint in the UK across high-potential categories like medical textiles , protective wear, geo-textiles, industrial fabrics, and agro-tech textiles,' he added. Bhadresh Dodhia, Immediate Past Chairman of MATEXIL said India will now enjoy a significant competitive edge over China in this domain, as China does not have any FTA with the UK. 'Until the agreement is fully implemented, Indian technical textile exporters should proactively study UK market requirements, technical standards, and sustainability norms to better position themselves and maximize the benefits of the CETA,' Dodhia said. To support the industry, MATEXIL will soon be organizing outreach programmes, B2B meetings, and market intelligence sessions to ensure that Indian exporters are well-prepared to capitalize on the immense opportunities offered under the India–UK CETA.
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Business Standard
29-07-2025
- Business
- Business Standard
India-UK trade deal: Navigating through worldwide economic chaos
A New Benchmark in International Diplomacy: At a time when the entire world is reeling from rising geopolitical conflicts, widespread uncertainty, and rapidly increasing protectionism, India struck the most comprehensive bilateral trade deal ever with the United Kingdom on July 24, 2025. The deal spans far beyond traditional merchandise exports and imports to cover services, digital trade, movement of persons, labour issues, the environment, government procurement, and government-to-government dispute settlement, and is technically termed the Comprehensive Economic Trade Agreement (CETA). India's historic relationship with the UK since colonial times, alongside long-standing cultural and social exchanges backed by a shared democratic system based on the Westminster form of democracy, makes the two nations natural allies with multiple mutual complementarities. Deliberations for the deal commenced during the tenure of Boris Johnson as the Prime Minister of the UK in January 2022 but were delayed due to the complexity of negotiations, primarily due to a broad spectrum of contentious issues, ranging from the movement of people and visa regulations, services trade, and patent laws, to climate change, data localisation, and non-tariff trade barriers, in addition to political instability in the UK, which witnessed four distinct British Prime Ministers during the negotiating period. Bilateral negotiations involved a battalion of high-profile negotiators with cutting-edge multidisciplinary expertise from both sides, who navigated the turbulent waters of sensitive, often conflicting, national interests in a landscape characterised by frequent economic and geopolitical shifts spanning three and a half years and fifteen rounds of deliberations. Finally, the landmark trade deal was concluded and jointly declared on May 6, 2025, by Indian Prime Minister Narendra Modi and British Prime Minister Keir Starmer. Indian negotiators are to be complemented for safeguarding India's strategic interests under trying circumstances and arriving at a mutual consensus of trade-offs during the challenging rounds of negotiations. Major Gains for India's Exports Average import tariffs on British goods in India, which are likely to decline from 15% to 3%, will benefit Indian consumers, especially in sectors such as medical devices, cars, cosmetics, and alcoholic beverages. The India-UK CETA opens up massive opportunities in the UK economy worth over $3.8 trillion, hitherto grossly unexplored. Under the agreement, nearly 99% of Indian merchandise covered under tariff lines will now enjoy duty-free access to the UK market, including major labour-intensive exports such as textiles, footwear, toys, engineering goods, and gems and jewellery. Textiles and apparel have been a sector of high concern as it offers the second-largest employment after agriculture, offering jobs to over 48 million people, accounting for a 7.6% share of India's exports yet accounting for merely 3.9% of the world market. India's share in the UK's large textile and apparel market of $28.7 billion is merely 6.6%, compared to Bangladesh's 22%, which employs a much lower workforce of 5 million, leveraging mostly technology, supply chain, and operational efficiencies. To make Indian products competitive, duty reduction in major markets has long been the demand of the Indian textile and apparel industry. As Bangladesh, along with many LDCs, enjoys duty-free entry under GSP schemes to the UK, the CETA with duty-free access to Indian exports compared to the 8-12% previously would provide a much-needed critical edge to Indian garments and textiles in the British market and help boost exports. Additionally, the deal opens up immense opportunities to expand in the UK's vast, unexplored market of $37.5 billion for agricultural products and $51 billion for processed foods and beverages, with India's share being less than 2%. Given the duty-free access of 99% of processed foods and 95% of agricultural products to UK markets, from a previous import tariff of 8-70%, this could prove to be a critical factor in boosting India's agricultural exports, a sector irrefutably indispensable to the rural economy and employment. Notably, processed foods, Indian spices, tea, coffee, cereals, pulses, and vegetables are likely to be the major gainers from tariff elimination. Coming to the processed food market in the UK, which attracts a high import duty of up to 70%, the deal has now provided access to 99.7% of products under the tariff line. This could essentially prove to be a game changer that would not only enhance India's processed food exports but also lead to improved innovation and quality across the industry, contributing to its global competitiveness. Tariff elimination also offers immense opportunities for Indian spices, which already dominate the UK market of $412 million with a 23% share after the Netherlands, but are subjected to 8-20% import duties. An FTA Beyond Merchandise Trade In addition to trade in goods, the trade agreement also paves the way for significant expansion of exports of services, wherein professionals such as yoga instructors, chefs, musicians, etc., get improved access by granting 1,800 visas. Moreover, under the Double Contribution Convention (DCC), short-term workers posted for up to 3 years won't be required to pay social security contributions in both countries, which would considerably enhance their competitiveness and savings. Additionally, it would improve the cost-efficiency of Indian companies operating in the UK. For the first time, the agreement includes binding commitments to grant non-discriminatory access to Indian companies in the UK's $122 billion public procurement market, covering goods, services, and construction. CETA also embeds within itself a strong government-to-government dispute settlement mechanism, enabling a swift resolution of trade-related disputes. In fact, several critical non-trade issues such as environmental standards, labour rights, anti-corruption, gender equity, etc., are integrated within the FTA. In addition to this, a bilateral investment treaty is being negotiated separately between the two countries. Explicitly, the India-UK trade deal seems to be a highly balanced and comprehensive trade agreement that would be a clear win-win for both countries, likely to create millions of jobs and enormous opportunities for bilateral trade and investment. However, its effective implementation is the key, which calls for meticulously chalked-out implementation strategies based on thorough research and grassroots stakeholder consultations, commitment, and the ability of central and state governments, along with hundreds of their departments across the country, to refrain from working in silos and come together to harness the full potential of CETA, leading to a multiplicity of direct and its immense spin-off gains. The author is Vice Chancellor, Indian Institute of Foreign Trade, New Delhi
Economic Times
26-07-2025
- Business
- Economic Times
India ensures safeguards for sensitive sectors in UK FTA
India and the UK signed a Comprehensive Economic Trade Agreement (CETA) on July 24 after years of meetings and consultations. New Delhi: Only about a fourth of the UK's exports by value will enjoy immediate duty-free access to the Indian market, while most of the sensitive sectors have been protected, the government said on Friday. Briefing the media on Friday, commerce secretary Sunil Barthwal said product-specific rules of origin have been put in place. These stipulate value-addition norms that don't allow transshipment or third-country benefits. India has safeguarded its sensitive sectors - from dairy, cereals and millets, pulses and vegetables, to high-value items like gold, jewellery, lab-grown diamonds and certain essential energy fuels, marine vessels, worn clothing, and critical polymers and their monofilaments, smartphones, and optical fibres are also excluded. For strategically important products, particularly those where domestic capacity is being built under Make in India and production-linked incentive schemes, concessions are being provided over periods of five, seven and 10 years. India and the UK signed a Comprehensive Economic Trade Agreement (CETA) on July 24 after years of meetings and accord with the UK differs from other free trade agreements as it reflects India's transition to a more mature economy, said Barthwal. India will enter areas that hadn't been touched upon in other trade deals as it transitions to developed country status, he said. The accord balances 'sensitivities and strengths,' the official said.'We wanted to remove the tag of tariff king and FTA is a way to do that,' Barthwal said. 'FTAs bring a lot of certainty and predictability to businesses which this UK FTA will ensure. FTAs are give and take and when we build a narrative, we are sensitive that it's not one-sided.' US President Donald Trump had referred to India as a tariff king. Barthwal also referred to negotiations with the US and the European Union.'Detailed talks are happening in the EU FTA. Talks with the US are going on — it will fructify,' he India-UK friendship is based on fair play, equity and mutual benefit, the commerce secretary said. 'We protected our sensitivities and they protected theirs. This FTA has been a balance of sensitivities and strengths. It's a complex and comprehensive deal… Our defensive interests have been taken care of,' he UK may take less than a year to ratify the CETA and India will use that time for building the capacity of its exporters and educating them on how to benefit from the accord. The government is conducting an exercise with states and export promotion councils on how they will be impacted.'We are doing granular studies,' he said. India and the UK have agreed to negotiate mutual recognition agreements (MRAs) to facilitate the movement of professionals such as nurses, accountants and architects to Britain. 'Non-tariff barriers will be eased, and regulatory systems and MRAs would be improved,' Barthwal said. Scotch, cars Barthwal said that Scotch is a GI (geographical indication) product, and there is always a production limit. The duty on Scotch whisky will be reduced to 40% over 10 duty cuts, up to 75% over 10 years, have been offered on other alcoholic beverages, with concessions applicable only above a set minimum import price — $6 for bottled and $5 for bulk whisky. The FTA will help in exports of Indian blended whisky, he added.'Indian malt whisky is blended with imported Scotch. So, when bulk whisky comes, it's like an intermediate product,' the official terms of market access to automobiles, India has committed to a calibrated, phased, and development-oriented quota-based liberalisation strategy. Under this, a total annual quota of up to 37,000 cars has been provided at a reduced tariff, with a graded structure for both quota and concessions have been given to electric vehicles, hybrids and hydrogen-powered cars in the first five years.
