India–UK FTA To Enable Duty-Free Trade, Offer Relief To Indian Professionals In UK: Piyush Goyal

New Delhi, Jul 13 (KNN) Union Commerce and Industry Minister Piyush Goyal has announced that the India–UK Free Trade Agreement (FTA) will allow all Indian goods exported to the United Kingdom to enter duty-free from July 15. 

The move is expected to benefit a wide range of sectors, including agriculture, fisheries, micro, small and medium enterprises (MSMEs), and manufacturing.

Speaking to reporters, Goyal said the pact goes beyond trade in goods and services, offering additional benefits for Indian professionals working in the UK. A key provision, the Double Contribution Convention (DCC), will exempt Indian workers from contributing to the UK’s social security system for up to five years, PTI reported.

Relief for Indian Professionals

"The India-UK trade agreement not only covers merchandise, goods and services but also benefits thousands of Indians working in the UK. From July 15, any item exported from India to the UK will attract zero import duty," the minister noted.

Under the new arrangement, Indian professionals on temporary assignments in the UK will no longer need to contribute a portion of their salaries towards British social security. 

Goyal said, "Earlier, nearly 25 per cent of their (Indian professionals') salaries used to go towards the UK government's social security contributions. Now, that amount will be deposited in their provident fund accounts in India, earning 8.25 per cent annual interest. It will remain tax-free and help secure their retirement savings." 

The minister noted that the provision is expected to ease financial pressures and strengthen long-term savings for Indian workers abroad.

Upcoming International Engagements

The minister further announced plans for a four-country overseas visit with a business delegation to promote trade and investment. As part of the tour, he will attend the India–European Union Trade and Technology Council meeting in Brussels on July 14–15, according to PTI.

Discussions at the meeting are expected to focus on resolving trade issues, boosting technology cooperation and advancing negotiations on the proposed India–EU Free Trade Agreement, with an emphasis on supporting India’s long-term economic growth.

(KNN Bureau)