In a three days’ visit to UK by the Indian premier Narendra Modi between July 23 and 2th 2025, India and United Kingdom signed a historic bilateral free trade agreement aimed at boosting trade and economic cooperation between the two nations.
UK started the negotiations to this deal in 2022 by the then Prime Minister Boris Johnson, with both sides synergistically pushing for the close of the deal however, it faced un expected delays in approval by the UK parliament.
The bilateral agreement between the two countries signed, stipulates a cut on tariffs on goods like textile, tech, whisky and cars and allow a wider market access for business from both countries and increase investment opportunities and employment for the two countries.
The UK Premier; keir Starmer noted that, the agreement is ‘land mark’ in the history of both countries it will act as an enabler in delivering billions of dollars to UK.
Mondi emphasized that India’s textile, tech and tea flavors will be able to enter UK markets with no restriction.
The agreement is expected to see goods from Britain reduced from 15% to 3% on tax exemptions with creation of over 2000 jobs between the two countries with India having an opportunity to unlock the access to the EU with economically favoring India in the regional countries.
The India-UK relationship is deeply rooted in the historical ties which have transformed into a strategic partnership with both nations eying deeper collaborations in multiple sector like defense, tech, education and security.
Business secretaries; Jonathan Reynolds of UK and his Indian counterpart Piyush Goyal joyfully signed the trade agreement in the main hall of Chequers. ‘This is the greatest of all trade agreements that the UK has signed with any other foreign country.’ UK secretary said.
In less that a year, Modi has made multiple impactful and strategic visits to many countries like Ghana, Namibia, Argentina, Brazil and more. Which most economists have traced this back to BRICS since its inception in 2009 to which Uganda was registered as a partner in 2023 which is the only east African country in the newly formed economic bloc.
India being the world’s fastest growing economy estimated at GDP $3.9 trillion as of (2024), Modi said, was a new chapter in the shared history of the two countries with the deal estimated to bring 6bn pounds annually for the English economy.
In a contemporary global economic era, countries are looking at lasting strategic economic alliances which can guarantee foreign exchange of goods and expertise, that requires to set up a strong and collaboration through reliable and dependable partnerships which are with no doubt Prime Minister Modi is fore eying.
If approved, the two countries agreed to tackle corruption, fraud, organized crime and illegal migration, collaboratively share criminal records and intelligence.
By; Johnson Rio Ochuma
Digitalk TV Stringer.