New Delhi- In a significant development marking a new chapter in bilateral relations, Indian Prime Minister Narendra Modi and UK Prime Minister Sir Keir Starmer came together in the United Kingdom to engage with top business leaders from both nations. The meeting followed the formal signing of the Comprehensive Economic and Trade Agreement between India and the UK, aimed at transforming the economic partnership and opening up new avenues for cooperation across sectors.
Industry leaders representing health care, pharmaceuticals, automobiles, energy, technology, textiles, financial services and more participated in the gathering. Both leaders appreciated the growing trade and investment exchanges in recent years and encouraged the business community to harness the full potential of the new agreement. They highlighted how this pact would boost investor confidence and create more inclusive and sustainable economic opportunities in both countries.
The showcase of innovation and quality from both sides included engineering goods, gems and jewellery, and advanced technological products. The event reflected the shared commitment to fostering innovation, generating employment and promoting mutually beneficial trade that drives growth beyond national boundaries.
Described as a blueprint for shared prosperity, the agreement is projected to boost trade between the two nations by over 25 billion pounds and potentially add 4.8 billion pounds annually to the UK economy. British tariffs on goods like whisky, gin and automobiles will be significantly reduced over the next decade. For India, nearly all its exports to the UK, including textiles, footwear and food products, will now enjoy duty-free access, opening up unprecedented market reach.
Leaders from both nations also hailed the trade pact as a model for future partnerships with other regions. The announcement of nearly 6 billion pounds in new trade and investment deals across sectors such as artificial intelligence, aerospace and dairy underlined the agreement’s broad impact. Alongside trade, both countries reaffirmed their willingness to collaborate on defence, climate action, migration and healthcare.
The deal stands as the most comprehensive and economically significant trade agreement signed by the UK since its exit from the European Union. For India, it represents a vital step forward in building ties with advanced economies and establishing itself as a major global player in trade and diplomacy.
Amid these historic agreements, Prime Minister Modi’s two-day visit also included discussions around recent shared tragedies, such as the deadly Air India crash that claimed hundreds of lives, including many British and Indian nationals. The leaders also touched upon shared commitments made during past G7 and G20 meetings and looked forward to strengthening historical and cultural ties beyond economics.
Prime Minister Modi’s meeting with King Charles III during this visit added a symbolic yet powerful dimension to the evolving relationship, further underlining the spirit of cooperation and mutual respect that continues to guide India-UK relations.
