Subject: Conclusion of India–UK Free Trade Agreement – Zero Duty Access for Indian T&A Products to UK Market – reg.

 Dear Sir/Madam,

 This is to inform the members that on 6th May 2025 Hon’ble Prime Minister of India Shri Narendra Modi and Hon’ble Prime Minister of the United Kingdom Sir Keir Starmer have announced the successful conclusion of a mutually beneficial India – UK Free Trade Agreement (FTA).

 Under the FTA, Indian T&A products will have Zero Duty access to UK market.

 Trade analysis shows that UK is one of the major markets for T&A products. During 2024, UK imported T&A products worth about US$ 27 bn from the world of which about 83% is apparel and made-ups. With about 25% share in total T&A imports, China was the leading supplier to UK followed by Bangladesh and Türkiye with about 15% and 8.5% share respectively.

 India is the 4th largest supplier of T&A products to UK accounting to about 6.6% share in UK’s total T&A imports.

 One of the primary reasons for India’s relatively lower share has been the disadvantageous duty structure, as competitors like Bangladesh and Türkiye already enjoyed preferential access to the UK market.

 An analysis of the top 20 T&A commodities imported by the UK (at the HS-6 digit level) reveals that Bangladesh leads with a 23% share, followed by China (22.6%), Türkiye (10%), and India (4%).

With the signing of this FTA, Indian exporters now have a level playing field, enabling them to significantly improve their market share, not only in these top 20 product categories but across the broader T&A segment as well.

 A detailed analysis of the top 20 T&A commodities, along with data on imports from the UK’s top four suppliers, is attached for members’ kind reference.

Members may kindly take note of this development.

Thanking you,

Yours faithfully,

Chandrima Chatterjee

Secretary General