The UK and India Signed a Trade Deal

Following our news item regarding the UK concluding a trade deal with India in May 2025, both parties have now signed the UK-India Comprehensive Economic and Trade Agreement (CETA).  According to the UK Government, the UK already imports £11 billion in goods from India, but liberalised tariffs on Indian goods will make it easier and cheaper to buy their best products.  For businesses, this could mean potential savings when importing components and materials used in areas such as advanced manufacturing or luxury and consumer goods.  India’s average tariff on UK products will drop from 15% to 3% which means British companies selling products to India from soft drinks and cosmetics to cars and medical devices will find it easier to sell to the Indian market.

To mark the signing of the FTA and its importance for the cosmetics industry, CTPA released the following public statement: 

Dr Emma Meredith OBE, Director-General, CTPA (Cosmetic, Toiletry and Perfumery Association), said:  

"The UK-India Free Trade Agreement (FTA) represents a significant opportunity for the cosmetics and personal care industry.  Tariff reduction and the commitments to ongoing cooperation will enhance market access and create new opportunities for growth for UK brands and manufacturers.  CTPA welcomes the strengthening of the bilateral ties through the negotiation process, a great first step in the delivery of substantial benefits for our sector."

CTPA's public quote, as well as other sectors' can be found in the dedicated announcement on the UK Government website.  For more information, including the full Chapters, please visit the UK Government website.  CTPA will now be looking to engage with the Department for Business and Trade (DBT) FTA Utilisation team to support businesses in preparing for benefiting from the Agreement.  Please note the agreement is not yet in force, as both the UK and India are required to complete their respective domestic procedures for the agreement to come into effect.  Once ratified by both countries, businesses will be able to trade under its terms.