UK–India Comprehensive Economic and Trade Agreement (CETA) Enters into Force

The UK–India Comprehensive Economic and Trade Agreement (CETA) enters into force on 15 July 2026, creating new opportunities for businesses trading between the UK and India. The agreement is expected to reduce or eliminate tariffs on many goods, simplify customs procedures and improve market access across a range of sectors.

However, preferential tariff rates are not automatic. Businesses must be able to demonstrate that their goods meet the agreement's rules of origin and ensure the correct customs documentation accompanies each shipment.

Practical steps to take now

• Review your product range to identify goods that may benefit from reduced or zero tariffs.

• Confirm that the commodity codes used for your products are correct.

• Understand the agreement's rules of origin and whether your products qualify for preferential treatment.

• Speak with suppliers if imported components are used in your products, as their origin may affect eligibility.

• Ensure commercial invoices and supporting documentation include any required origin statements or evidence.

Considerations

Talk to Indian customers, distributors and customs agents before shipping under the new agreement so that both parties understand how to claim preferential tariff treatment.

The agreed Incoterms® will also affect who is responsible for customs clearance and import duties:

• Under FCA or DAP, the buyer will generally be responsible for import clearance and should understand what documentation is required to claim tariff preferences.

• Under DDP, the exporter should fully understand customs, tax and compliance obligations in India before agreeing to this term.

  
  

Early discussions with trading partners will help avoid delays, rejected claims for preferential tariffs and unnecessary costs.

Tip: Free trade agreements deliver the greatest benefits when businesses prepare in advance. Reviewing origin requirements, documentation and contractual responsibilities now will help ensure you maximise the opportunities offered by the UK–India agreement from day one.