Karnataka flags off export consignments as U.K.-India FTA kicks in
Karnataka has begun exporting goods to the U.K. following the implementation of the new India-U.K. Free Trade Agreement. The deal is expected to significantly boost sectors like biotechnology, pharmaceuticals, and agriculture by removing import duties.
Why it matters
The FTA represents a major shift in trade relations, potentially increasing export competitiveness for Indian states.
Exporters in Karnataka flagged off consignments as the U.K.-India Free Trade Agreement (FTA) kicked in on Wednesday.
Describing it as a landmark development, Large and Medium Industries Minister M.B. Patil said the agreement is expected to provide a major boost to Karnataka’s biotechnology, pharmaceuticals, textiles and garments, marine products, engineering goods and machinery sectors. Premium coffee grown in Chikkmagaluru and Kodagu, along with the State’s spice industry, would also stand to benefit, he said.
British Deputy High Commissioner Chandru Iyer flagged off a consignment of Jindal aluminium and electronic products bound for the United Kingdom from the Inland Container Depot at Whitefield in Bengaluru.
Under the Agreement, 99% of Indian products would gain duty-free access to the UK market and nearly all the sectors in which Karnataka enjoys a competitive advantage would fall within its scope, Mr. Patil emphasised.
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