E-Malt.com News article: UK & India: UK's Scotch whisky body hopes for 'swift' India FTA implementation

The UK's Scotch Whisky Association, which has projected significant exports to India over the coming years, has expressed hopes for the "swift" implementation of the Free Trade Agreement (FTA), the Economic Times reported on May 19.

The India-UK Comprehensive Economic and Trade Agreement (CETA) was signed off during Prime Minister Narendra Modi's UK visit last July and has progressed through the UK parliamentary ratification process this year.

However, last week it emerged that the operationalisation of the agreement has hit some hurdles over the UK's upcoming steel import restrictions.

"Positive trading relationships with established and emerging markets around the world are the bedrock of Scotch whisky's success, and over the past year the Free Trade Agreement with India, tariff reduction in China, and the announcement of zero tariff rate for the US, have been good news for producers looking to boost exports," said Mark Kent, Chief Executive of the Scotch Whisky Association (SWA), ahead of a Downing Street event in London on Monday.

"We are grateful for UK government support and hope to see swift implementation of the India and US deals, as well as securing new international opportunities," he said.

It came as Commerce Secretary Rajesh Agrawal told reporters last week that the UK's steel measure that will limit tariff-free steel imports from July had not been factored in while negotiating the FTA.

"We are working together to find a unique, creative solution around the steel measure also so that we can officialise the India-UK CETA at an early date," he was quoted as saying.

Scotch whisky is among the key British exports expected to benefit from slashed Indian import tariffs under the CETA. Once the agreement is enforced, the cost to export these bottles to India will reduce immediately from 150 per cent to 75 per cent and then drop further to 40 per cent over the next 10 years.

"Trade deals aren't abstract policy wins - they translate into real benefits for British families and businesses right across the country; whether it's a whisky distiller in Scotland accessing new markets in India or an automotive worker in the West Midlands with greater job security because of our deal with the US," said UK Business and Trade Secretary Peter Kyle.

"By securing ambitious trade agreements, we can back British businesses to do what they do best: innovate, export and grow. That means more jobs, better wages and stronger local economies - not just today, but for decades to come," he said.

Downing Street claimed the India FTA is already "driving growth", with the British Prime Minister Keir Starmer's visit to India in October last year securing 6,900 jobs and the trade agreement estimated to boost wages by 2.2 billion pounds a year in the long run.

"Our trade deals are supporting jobs and driving growth across the UK by opening up opportunities for people at every stage of their career, from apprentices starting out to experienced workers building new skills, as businesses expand into new markets," said Starmer.

His statement came as he hosted employers, workers and apprentices at 10 Downing Street to highlight how his government's "economic plan is providing the foundation for growth" at a time of global uncertainty.

"I'm determined that growth is felt by working people with better jobs, higher wages and more money in their pockets. That's what our economic plan is about - taking action at home and abroad to deliver real change that people can see in their lives and their communities," said the UK PM, who continues to fight back against a brewing leadership challenge within his own Labour Party.

Starmer's main rival, Greater Manchester Mayor Andy Burnham, has now been confirmed as the party's candidate in a crucial by-election in Makerfield in northern England. If he wins and returns to the House of Commons as a member of Parliament, Burnham is expected to mount a formal challenge to replace Starmer as Labour leader and Prime Minister.

It follows the crisis unleashed by the governing party's bruising local election performance earlier this month, with Starmer vowing that he would not "walk away" from the landslide mandate handed to him in the July 2024 general election.


19 May, 2026