EconomyThursday, 16 July 2026·The Hindu - National

India-UK CETA and FTAs: market access, tariffs and MSME opportunities

On July 15, 2026, industry leaders said FTAs and the India-UK CETA can expand market access for India’s MSMEs and exporters.

Key highlights

Direct fact

On July 15, 2026, at an FKCCI outreach programme in Bengaluru, speakers highlighted the India-UK Comprehensive Economic and Trade Agreement (CETA) and said tariff cuts could help India’s 6.3 crore MSMEs.

Key specifics

  • The programme was organised by FKCCI with the Export Promotion Council for Handicrafts and Bangalore Customs.
  • Uma Reddy said MSMEs in India number over 6.3 crore and contribute nearly 30% to GDP.
  • India has recently signed FTAs with the UAE, Australia and EFTA countries, and concluded negotiations on the India-UK CETA.
  • DGFT notified the procedure for tariff rate quotas for vehicle imports from the UK under CETA effective from July 15, 2026.
  • Under the agreement, customs duty on vehicles is 10% instead of the existing 110% duty, subject to annual quota limits.

Exam lens

Economy and trade agreement question, FTA, CETA, DGFT, tariff rate quota, 6.3 crore MSMEs, 10% vehicle duty — TNPSC may ask which recent agreement with the UK changes import duties and market access.

India UK CETAFTAMSMEDGFT

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