According to sources, both sides have exchanged views on the outstanding issues, which include the UK’s proposed carbon-related trade measures and new restrictions on steel imports. Progress on these fronts could pave the way for Commerce and Industry Minister Piyush Goyal to visit London for talks alongside the next India-UK Joint Economic and Trade Committee (JETCO) meeting.
The India-UK FTA was signed on July 24, 2025, along with a convention to avoid double taxation. The agreement aims to double bilateral trade to $120 billion by 2030, while reducing tariffs and expanding market access for businesses in both countries.
The latest round of discussions comes as both governments work to operationalise the trade pact.
UK Secretary of State for Business and Trade Peter Kyle and Minister of State for Trade Policy Chris Bryant visited India on June 2 for high-level talks focused on accelerating implementation of the agreement.
Earlier, Commerce Secretary Rajesh Agrawal had said the FTA was close to becoming operational, though a few outstanding issues remained under discussion. He noted that the UK’s recently announced steel import measures had not been factored into the original negotiations and were being addressed through ongoing consultations.
The UK has decided to reduce tariff-free steel import quotas by 60% from July 1, 2026. The move could affect Indian steel exporters by limiting duty-free access and potentially exposing some shipments to higher tariffs.
Industry experts have also flagged concerns over carbon-related trade measures being introduced in major markets. Such policies could increase costs for exporters of carbon-intensive products, including steel, even when preferential trade agreements are in place.
The India-UK Joint Economic and Trade Committee, established in 2005, serves as the main platform for advancing trade and investment cooperation between the two countries. The 15th JETCO meeting, held in New Delhi in January 2022, formally launched negotiations for the bilateral FTA.
Under the trade agreement, average tariffs on UK goods entering India are set to fall significantly, while 99% of Indian exports will receive duty-free access to the UK market.