New Delhi, July 25 (IANS). With the Free Trade Agreement (FTA) implemented between India and Britain, bilateral trade between the two countries can increase from $ 58 billion (2025-26) to $ 115 billion by the year 2030. Also, there is a possibility of creation of 7 to 10 lakh new jobs. This information has come to light in a new study by ASSOCHAM.
According to a study by ASSOCHAM Global Research and Strategy Centre, the India-UK FTA, effective from July 15, 2026, will provide better market access, which will expand the scope of business and create new employment opportunities for the young population of the country.
The study said that labour-intensive industries like textiles, leather, engineering goods, pharmaceuticals and automotive will get huge benefits for both employment generation and exports by getting new opportunities and wider markets.
However, the study also says that to take full advantage of this huge potential, India will have to continuously strengthen its competitiveness.
Assocham President Nirmal K. Minda said, “Indian companies will have to meet product quality, certification requirements, compliance with rules of origin and international sustainability standards. Improvements in ease of doing business and continued investment in infrastructure and supply chain will be key to achieving these standards.”
According to the study, the engineering goods sector is expected to get special benefits from this agreement, which will accelerate the growth of MSMEs and ultimately create new employment opportunities.
Additionally, simplified customs procedures and provisions related to digital trade will simplify compliance, reduce transaction time and make the trading environment more agile and efficient.
The study says that India-UK CETA connects two economies that complement each other.
While India has a larger market, young workforce, strong MSME base and strength of labour-intensive industries, the UK offers expertise in advanced technology and high-value services.
According to ASSOCHAM, these complementary capabilities of both the countries will help in long-term economic cooperation, trade growth, joint innovation and strengthening of supply chains, especially at a time when the global economic environment remains uncertain.
The study says that amidst the increasingly complex scenario of the global economy, the India-UK FTA will prove to be an important milestone in the economic relations between the two countries.
–IANS
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