The recently signed India-UK Free Trade Agreement (FTA) has ushered in a new era for Indian agriculture. The agreement has enabled over 95 per cent of farm and processed food goods from India to enter the United Kingdom without any import duty. Indian exporters and officials are hopeful that the move will “deepen India’s agri-exports footprint in one of the world’s most lucrative food markets,” as the Ministry has repeatedly highlighted.

At the signing ceremony, Union Commerce Minister Piyush Goyal emphasised, “This agreement reflects our government’s commitment to expanding markets for Indian farmers, producers, and entrepreneurs. Our focus was always on promoting agri-exports while protecting the interests of our sensitive sectors, and I am happy to say we have achieved that balance.”

Welcoming the agreement, Ajay Sahai, Director General of the Federation of Indian Export Organisations (FIEO), said, “The trade partnership with the UK will open up new opportunities, especially for agricultural products, where India already enjoys an edge in terms of quality and diversity.”

The government has announced that key products—including shrimp, marine products, grapes, rice-based ready-to-eat foods, mangoes, and several spices—are among those that will now enter the UK with zero duty. Officials point out that while the UK imports farm goods worth about $37 billion every year, Indian exports are only a small part of that at present. With the deal signed, there is now a “tremendous” chance to boost India’s share, which could directly benefit farmers and processors across the country.

Domestic Interests Central Focus

During the negotiations, the government made sure to protect certain domestic interests. As the Commerce Ministry clarified, “Sensitive products like dairy, poultry, apple, and wheat have been kept out of tariff concessions, giving due consideration to domestic interests.” No tariff reductions were given for dairy and select cereals, a position described by officials as “non-negotiable” for the protection of Indian farmers.

The Ministry of Commerce called the agreement “a step towards the Prime Minister’s vision of reaching $100 billion in agri-exports by 2030,” reflecting the government’s ambition to turn India into a major agricultural exporter in the coming years.

With this deal, Indian exporters are preparing to tap into the UK market and expect significant gains. Sahai added, “The gains for farmers and food exporters are substantial, and the exclusions ensure no segment is exposed to sudden shocks from imports.”

Concluding the landmark event, Minister Goyal said, “This is a big day for Indian farmers and the rural economy. We are confident Indian quality products will now reach more consumers in the UK at competitive prices, benefitting our entire agri eco-system.”

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