India-UK Trade Deal: India’s Smartphones, Fibre Cables to Enter UK Duty-Free

India’s electronics sector received a significant boost with the signing of the India-UK Free Trade Agreement (FTA) on Thursday, enabling zero-duty exports of smartphones, optical fibre cables, and inverters to the United Kingdom. The landmark deal, signed during Prime Minister Narendra Modi’s visit, also includes IT and IT-enabled services, opening new avenues for Indian software firms.

“Zero-duty access will accelerate exports of electronic products, strengthening India’s foothold in the UK market,” an official source stated. The FTA, covering 99% of Indian exports, is expected to drive growth in India’s $27 billion electronics export sector, with smartphones alone contributing $15 billion in 2024.

The agreement aligns with India’s Production Linked Incentive (PLI) scheme, enhancing competitiveness against rivals like China and Vietnam. The deal is projected to add £25.5 billion to bilateral trade by 2040, fostering job creation and innovation in India’s tech hub.

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