Union Minister of Commerce and Industry Piyush Goyal travelled to London from June 25 to 27, 2026, to review final preparations for the India-UK Comprehensive Economic and Trade Agreement (CETA) and the Double Contribution Convention (DCC), both scheduled to enter into force on July 15, 2026. He led one of India’s largest-ever business delegations, comprising over 160 companies, to engage with British industry leaders and government officials. During the visit, Goyal held high-level talks with UK Business and Trade Secretary Peter Kyle, received a special award for his role in strengthening bilateral ties, launched a practical guide for businesses, and announced the deployment of 1,000 advisory personnel across India to help companies maximise the benefits of the trade pact.
Background: The India-UK CETA Journey
Negotiations for a free trade agreement between India and the UK were launched on January 13, 2022, with both sides aiming to substantially deepen their economic partnership. After over three years of intensive discussions across multiple rounds, the deal was formally signed in London on July 24, 2025, in the presence of Prime Minister Narendra Modi and then British Prime Minister Keir Starmer.
The agreement, however, faced a last-minute hurdle when the UK announced fresh steel safeguard measures in March 2026, proposing to cut duty-free steel import quotas by 60 percent from July 1, 2026, with imports above the limit facing a 50 percent tariff. This threatened to undermine the benefits Indian steel exporters had secured under CETA. After intensive negotiations in London, both sides reached a consensus in June 2026 that protected 85 percent of India’s steel exports from the safeguard measures. The remaining 15 percent was secured through a combination of country-specific quotas (CSQ), residual quotas, and the Authorised Use Scheme (AUS). With this steel issue resolved, the path was cleared for CETA to come into force on July 15.
Piyush Goyal described the agreement as India’s most comprehensive trade pact so far, one that goes beyond tariffs and rules of origin to cover technology collaboration, education, culture, and innovation. He expressed confidence that CETA would become a template for future free trade agreements signed by India.
What Piyush Goyal’s London Visit Achieved
Goyal’s three-day programme in London was packed with high-level engagements, reflecting the importance both countries placed on a smooth rollout of the trade pact. He led a delegation of over 160 business leaders from across India, including participants from Tier-2 and Tier-3 cities and several first-time exporters, marking the largest such business contingent to travel from India to the UK.
Bilateral Meeting with Peter Kyle
Goyal held a high-level meeting with Peter Kyle, the UK’s Secretary of State for Business and Trade. The discussions focused on aligning regulatory roadmaps, streamlining cross-border customs coordination, and finalising administrative mechanisms for the smooth implementation of CETA and the DCC. Both ministers reviewed preparedness for CETA’s tariff liberalisation commitments, which are expected to open enhanced market access for Indian exports. They also discussed the operational roadmap for the DCC and mutual market access commitments across key services sectors. Goyal described the talks as “meaningful discussions” that reflected the “warmth, trust and forward-looking vision” defining the bilateral partnership.
Special Award at the UK-India Awards 2026
On June 25, Goyal was honoured with the Special Award for Exceptional Leadership in Elevating UK-India Relations at the Annual UK-India Awards 2026, organised by the India Global Forum (IGF). The award ceremony marked the tenth anniversary of the IGF UK-India Awards. Goyal was joined on stage by Peter Kyle and IGF founder Manoj Ladwa as he received the recognition. In his address, Goyal said the award belonged to the many “bridge-builders” across governments, businesses, academia, culture, and the diaspora who continue to strengthen India-UK ties. He affirmed that “the best innings of the India-UK partnership are yet to come”. The negotiating teams from both countries that worked on CETA were also honoured at the ceremony.
Launch of the Business Utilisation Manual
Goyal launched the ‘UK-India CETA Business Utilisation Manual A Practical Activation Guide for Indian and UK Businesses’ during an event organised by FICCI and supported by the UK India Business Council (UKIBC). The manual, developed jointly by UKIBC and HSBC India, is a first-of-its-kind guide that converts the complex provisions of CETA into actionable, sector-wise insights for businesses. It is designed as a living document to help companies in both countries understand and fully leverage the opportunities created by the trade agreement.
Deployment of 1,000 Advisory Personnel
Speaking at the India Global Forum (IGF) Capital Frontiers Forum, Goyal announced the deployment of 1,000 advisory personnel across India to help businesses, particularly exporters, maximise the benefits of CETA. He also announced the upgrade of the government’s trade portal to provide additional support. The advisory network is expected to assist companies in navigating the agreement’s provisions, understanding tariff concessions, and accessing new market opportunities in the UK. Goyal urged Indian businesses to be early movers, adopt international quality standards, and showcase “Brand India” globally.
Understanding the Double Contribution Convention
The Double Contribution Convention (DCC) is a bilateral social security agreement signed between India and the UK on February 10, 2026. Its primary purpose is to prevent employees and employers from paying social security contributions in both countries simultaneously during temporary overseas assignments.
Under the DCC, an employee sent from India to work temporarily in the UK, or vice versa, will continue to pay social security contributions only in their home country for the duration of their assignment. The exemption period, which was previously limited to 52 weeks under the existing framework, has been extended to 60 months (five years) under the DCC. This means Indian professionals working in the UK for up to five years can redirect the money that would have gone to UK National Insurance into their Employees’ Provident Fund (EPF) accounts in India, where it earns 8.25 percent interest tax-free.
Goyal highlighted that Indian workers on temporary assignments in the UK previously lost 12.5 percent of their salary (employee contribution) plus an equal employer contribution to UK social security, with no direct benefit since most returned to India before qualifying for UK pension benefits (which typically requires 10 years of contributions). Under the DCC, these savings can now be redirected to India’s provident fund system.
The DCC is expected to benefit approximately 75,000 Indian professionals and over 900 Indian companies operating in the UK. It covers employees of Indian companies temporarily assigned to the UK, including IT professionals from firms such as TCS and Infosys. The agreement does not apply to Indian nationals directly employed by UK-based companies unless they are on qualifying temporary assignments from an Indian employer.
What CETA Means for India-UK Trade
The India-UK CETA is the most ambitious trade agreement India has signed with a developed country. The current bilateral trade between India and the UK stands at approximately GBP 48 billion (around USD 60 billion) annually. The agreement is projected to add GBP 25.5 billion annually to bilateral trade once fully utilised.
Tariff Elimination for Indian Exports
The UK has committed to eliminating tariffs on 99 percent of India’s exports from the date of entry into force, covering nearly 100 percent of trade value. Key sectors that will benefit from immediate duty-free access include:
| Sector | Previous UK Tariff | New Tariff |
|---|---|---|
| Textiles and clothing | Up to 12 percent | Zero from day one |
| Leather and footwear | Up to 16 percent | Zero from day one |
| Marine products | Up to 21.5 percent | Zero from day one |
| Processed food products | Up to 70 percent | Zero from day one |
| Engineering goods and auto components | Up to 18 percent | Zero from day one |
| Chemicals and pharmaceutical products | Up to 8 percent | Zero from day one |
| Gems and jewellery | Up to 4 percent | Zero from day one |
This near-total tariff elimination provides a level playing field for Indian exporters who previously faced a duty disadvantage compared to competitors from countries such as Bangladesh and Vietnam, which enjoyed preferential access to the UK market.
Market Access for UK Exports
India, in turn, has agreed to remove or reduce tariffs on 90 percent of UK tariff lines, covering 92 percent of goods imports from the UK. At entry into force, 64 percent of UK tariff lines become duty-free. Key UK gains include:
- Scotch whisky: Tariffs reduced from 150 percent to 75 percent immediately, further declining to 40 percent over 10 years
- Automobiles: Tariffs reduced from over 100 percent to 10 percent under a tariff rate quota system
- Chocolates and confectionery: Duties reducing from 33 percent to zero over 7 years
- Medical devices and pharmaceuticals: Immediate duty-free access for most products
Services and Digital Trade
CETA includes a comprehensive chapter on digital trade requiring both parties to accord legal recognition to electronic contracts, authentication, and signatures. The agreement also includes provisions protecting against the forced transfer of source code. The services chapter opens market access for Indian IT, financial services, and professional services providers in the UK market, while giving UK firms improved access to India’s services sector.
The Road Ahead
The implementation of CETA on July 15, 2026, marks the beginning of a new phase in India-UK economic relations. The government has moved swiftly to put customs notifications and processes in place so that exporters can start availing concessions from day one. Goyal has urged businesses to look beyond incremental gains and pursue “transformational growth” by entering new markets and building collaborative partnerships.
The agreement is expected to significantly enhance India’s exports of labour-intensive products, generate new employment opportunities in sectors such as textiles, leather, and footwear, and strengthen India’s integration into global value chains. For the UK, CETA opens up one of the world’s fastest-growing major economies for British goods and services.
However, challenges remain. The UK is set to implement its Carbon Border Adjustment Mechanism (CBAM) from January 1, 2027, which could affect Indian exports of carbon-intensive products such as iron, steel, and aluminium. Discussions on CBAM are ongoing, and the regulatory framework is yet to be finalised. Both sides have also committed to reviewing the agreement periodically to address emerging issues and expand its scope.
Piyush Goyal has described CETA as a “fair, equitable, very balanced agreement” and expressed confidence that it will serve as a template for future trade agreements India negotiates with other developed economies.
Key Takeaways
- The India-UK Comprehensive Economic and Trade Agreement (CETA) and the Double Contribution Convention (DCC) will come into force on July 15, 2026.
- The UK will eliminate tariffs on 99 percent of India’s exports from day one, covering sectors such as textiles, leather, marine products, and engineering goods.
- The DCC extends the social security exemption for temporary workers from 52 weeks to 60 months (five years), benefiting about 75,000 Indian professionals.
- Piyush Goyal deployed 1,000 advisory personnel across India and upgraded the trade portal to help businesses leverage CETA benefits.
- CETA is projected to add GBP 25.5 billion annually to bilateral trade, which currently stands at around GBP 48 billion.
- The agreement was signed on July 24, 2025, after negotiations that began on January 13, 2022, and cleared its final hurdle when 85 percent of India’s steel exports were protected from UK safeguard measures.
