Kolkata, January 2, 2026

The India-UK Comprehensive Economic and Trade Agreement (CETA) is expected to be implemented in the first half of 2026, marking a new chapter in the economic and strategic partnership between the two countries, British Deputy High Commissioner Andrew Fleming said on Friday. Speaking to PTI, Fleming described the pact as the most “comprehensive and ambitious” agreement ever negotiated by the British government and underscored its significance for businesses across India, particularly in West Bengal and the 12 states of East and Northeast India.

The agreement, spanning approximately 20,000 pages, is designed to create opportunities for enterprises of all sizes, covering a broad range of sectors, from tariffs and trade in goods to technology and services. Fleming urged regional businesses to begin preparations immediately to fully harness the benefits of the impending trade framework.

“This free trade agreement is the most comprehensive and ambitious agreement that my government has negotiated. I think the same probably would apply for the Indian government too,” Fleming said, highlighting the unprecedented scale of the accord.

India formally signed the CETA with the UK on July 24, 2025, in what is considered India’s most ambitious trade agreement to date. The pact aims to double bilateral trade in goods and services from the current USD 56 billion to USD 112 billion, encompassing 26 sectors critical to both economies. When asked about the timeline for implementation, Fleming said, “I mentioned the first half of 2026 is our hope and expectation. So we’re getting closer and closer.”

Under the agreement, Indian exporters will gain duty-free access for 99 percent of their products to the UK market, effectively covering nearly 100 percent of trade value. Labour-intensive sectors such as textiles, leather, marine products, gems and jewellery, and toys are expected to benefit significantly. In addition, high-growth sectors like engineering goods, chemicals, and auto components will also gain a competitive edge through reduced tariffs and enhanced market access.

The agreement is expected to generate reciprocal benefits for the UK, including tariff rationalisation for goods such as whisky, while also addressing the services sector, a core strength of the Indian economy. In 2023 alone, India exported over USD 19.8 billion in services to the UK, and the new framework is projected to expand these figures through enhanced mobility for professionals, particularly in the IT sector.

A notable feature of CETA is the inclusion of a first-of-its-kind chapter on women and gender, reflecting the shared commitment of India and the UK to inclusive economic growth. Fleming highlighted that this provision holds particular significance for West Bengal, which has the highest percentage of woman-led businesses in India at 23 percent. The chapter is expected to empower women entrepreneurs, artisans, and MSMEs, generating large-scale employment opportunities and promoting social inclusion.

The trade deal aligns with India’s Vision 2035 roadmap, aiming to deepen bilateral ties across critical sectors such as information technology, financial services, education, telecom, and engineering. Fleming emphasized that the pact is designed not only to boost trade but also to enhance technological collaboration, facilitate investments, and strengthen people-to-people ties between the two nations.

Union Commerce and Industry Minister Piyush Goyal has previously noted that the India-UK free trade agreement would serve as a catalyst for inclusive growth, benefiting farmers, artisans, and innovators alike. He highlighted that the pact is structured to safeguard India’s core interests while accelerating its journey toward becoming a global economic powerhouse.

Analysts have described the CETA as a transformative agreement, given its comprehensive coverage and strategic scope. Beyond tariff reductions, the pact includes provisions for regulatory cooperation, digital trade, intellectual property protection, and dispute resolution, ensuring a predictable and transparent business environment for investors and exporters from both countries.

For India’s labour-intensive and export-driven sectors, the agreement represents a significant opportunity to expand access to one of the UK’s largest consumer markets. Products such as textiles, leather goods, and marine exports are likely to see an immediate positive impact, while high-value goods and components will benefit from streamlined trade regulations and lower barriers.

On the services front, CETA is expected to facilitate mobility for professionals, encourage partnerships in education and skill development, and boost financial and technical collaborations, strengthening India’s position as a global services hub. The pact’s emphasis on gender inclusivity is also expected to inspire similar frameworks in other bilateral trade agreements.

The British Deputy High Commissioner underscored that Indian companies, particularly SMEs and exporters in East and Northeast India, should proactively prepare for market access and compliance requirements under CETA. Strategic planning and investment in quality, certification, and logistics are expected to enhance competitiveness and ensure maximum benefit from the agreement’s provisions.

With the expected roll-out in the first half of 2026, the India-UK CETA is set to redefine the bilateral trade landscape, offering new avenues for economic cooperation, technological collaboration, and inclusive development. By combining India’s strengths in services, manufacturing, and technology with the UK’s market access and investment potential, the agreement promises to strengthen the economic, social, and cultural ties between the two nations for decades to come.