NEW DELHI: The India–United Kingdom Comprehensive Economic and Trade Agreement (CETA) officially came into force on July 15, marking a historic milestone in bilateral relations and opening a new phase of economic cooperation between the two countries. The agreement became operational with the ceremonial flagging off of the first commercial export consignments from Chennai, valued at USD 446,046, symbolising the beginning of enhanced trade under the landmark pact.
The inaugural shipments, representing India’s manufacturing excellence and agricultural strength, were flagged off by Dr. Sutapa Choudhury, British Deputy High Commissioner for Tamil Nadu, Puducherry and Kerala, and Smt. Rajalakshmi Devaraj, Zonal Additional Director General of Foreign Trade (DGFT), Chennai.
The launch event was attended by senior government officials, export promotion councils and industry representatives, all of whom described the implementation of the agreement as a transformative moment that will create fresh opportunities for exporters, attract investment and strengthen economic ties between India and the United Kingdom.
Diverse Indian Products Lead the First CETA Exports
The first consignments under CETA reflected the diversity of India’s export basket, covering sectors ranging from gems and jewellery to engineering, leather and processed food.
The exports included gold jewellery manufactured by Emerald Jewel Industry India Limited of Coimbatore, automotive components from Brakes India Pvt. Ltd. in Chennai, cast wheels produced by Wheels India Limited, and premium leather footwear exported by Good Leather Shoes Pvt. Ltd.
The agricultural sector also marked its presence through a major export facilitated by the Agricultural and Processed Food Products Export Development Authority (APEDA).
A 50-metric-tonne consignment of agricultural and processed food products from Tamil Nadu was shipped to the United Kingdom. The cargo included 25 metric tonnes of premium traditional rice, millets and jaggery powder exported by Rigel Spices, along with 25 metric tonnes of frozen Ready-to-Eat (RTE) food products exported by Visnukumar Traders Pvt. Ltd.
The shipment highlighted India’s expanding capacity in value-added food processing and reinforced the growing global demand for Indian agricultural products.
‘A New Era of Trade Cooperation’: British Deputy High Commissioner
Speaking at the inaugural ceremony, Dr. Sutapa Choudhury described the implementation of CETA as the beginning of a new chapter in bilateral relations.
“The CETA represents a new era of trade cooperation and will strengthen the UK–India Vision 2035 by deepening investment ties, supporting climate action, and expanding collaboration in science, technology and education,” she said.
Also Read: Extreme Heatwave Grips US And Canada As Record Temperatures Trigger Health Alerts
Her remarks underscored that the agreement goes beyond trade by creating opportunities for innovation, research, sustainable development and long-term strategic cooperation between the two countries.
Officials noted that the agreement reflects the shared commitment of India and the United Kingdom to build stronger economic partnerships while encouraging investment-led growth.
DGFT Highlights Major Opportunities for Indian Exporters
Addressing the gathering, Smt. Rajalakshmi Devaraj said the agreement would significantly improve the global competitiveness of Indian exporters.
“CETA will unlock unprecedented opportunities for Indian exporters, particularly MSMEs, by reducing trade barriers,” she said.
She added that easier market access and lower trade restrictions would help Indian businesses expand exports to the UK while encouraging greater participation from small and medium enterprises.
Industry representatives believe the agreement will create a more favourable business environment by simplifying trade procedures and encouraging diversification of exports across multiple sectors.
PM Modi Calls CETA a Significant Milestone
Prime Minister Narendra Modi welcomed the coming into force of the Comprehensive Economic and Trade Agreement and the accompanying Social Security Agreement by sharing an article written by Union Commerce and Industry Minister Piyush Goyal.
Describing the agreements as a major achievement, the Prime Minister said they would deepen economic engagement between the two democracies.
“This is a significant moment in the India–United Kingdom partnership,” Prime Minister Modi said.
He added, “With the coming into force of the Comprehensive Economic and Trade Agreement and the Agreement on Social Security, our economic linkages are going to get even deeper. Together, these agreements translate our shared ambition into tangible opportunities for our people.”
The Prime Minister said the implementation of CETA reflects the growing trust between India and the United Kingdom and demonstrates the shared vision of both nations for stronger economic cooperation.
Farmers, MSMEs and Skilled Professionals to Benefit
Prime Minister Modi said the agreement would create fresh growth opportunities across several sectors of the Indian economy.
“The CETA will give fresh momentum to our farmers, entrepreneurs and MSMEs. Several vibrant sectors will gain stronger access to the UK market.”
He further highlighted that the agreement would deepen collaboration in technology, innovation and professional services while supporting greater mobility for skilled Indian professionals.
According to the Prime Minister, expanding access to the UK market will help Indian businesses become more competitive internationally and generate new employment opportunities.
The accompanying Social Security Agreement is also expected to provide relief to Indian professionals working temporarily in the United Kingdom by preventing unnecessary financial burdens related to social security contributions.
“The Social Security Agreement will provide invaluable support to Indian professionals working temporarily in the UK and strengthen the competitiveness of Indian enterprises,” Modi said.
Export Promotion Councils Back the Landmark Trade Pact
The flag-off ceremony was jointly organised by the Directorate General of Foreign Trade (DGFT) along with Export Promotion Councils, including the Engineering Export Promotion Council (EEPC), APEDA, the Council for Leather Exports (CLE) and the Gem and Jewellery Export Promotion Council (GJEPC).
Senior officials present at the event included J.V. Raja Gopal Rao (EEPC), Shobana Kumar (APEDA), D. Gokulakrishnan (CLE) and R. Surya Narayanan (GJEPC). The event concluded with a vote of thanks delivered by Dr. B. Punnam Kumar, Joint DGFT, Chennai.
Industry representatives said the agreement is expected to increase exports, encourage new investments and strengthen supply chains between India and the United Kingdom.
With CETA now operational, businesses in both countries are expected to benefit from improved market access, reduced trade barriers and greater collaboration across manufacturing, agriculture, technology and professional services. Officials believe the agreement lays the foundation for a stronger, future-ready India–UK partnership driven by trade, investment, innovation and shared economic prosperity.
Click here to join our WhatsApp Channel for real-time news updates and exclusive coverage.
