New Delhi: The Comprehensive Economic and Trade Agreement (CETA) between India and the UK extends beyond mere goods, focusing significantly on services exports, a vital aspect of India's economy. Currently, India's services exports to the UK stand at an impressive $19.8 billion, with CETA set to enhance this figure by facilitating greater mobility for professionals in sectors like IT, healthcare, finance, and education.

CETA introduces streamlined entry processes for various professionals, including contractual service suppliers, business visitors, intra-corporate transferees, and independent professionals such as yoga instructors, chefs, and musicians.

A significant advancement is the Double Contribution Convention, which allows Indian workers and their employers to be exempt from UK social security contributions for up to three years during temporary assignments. This initiative is expected to benefit around 75,000 workers and over 900 companies, leading to savings exceeding Rs 4,000 crore.

The trade agreement encompasses a comprehensive package that includes Information Technology, IT-enabled services, financial and professional services, business consulting, education, telecommunications, architecture, and engineering, all aimed at unlocking high-value opportunities and job creation.

Given that services are a cornerstone of India's economy, the agreement facilitates deeper market access in IT, financial services, education, and healthcare. It also establishes a structured framework for the temporary movement of professionals, allowing business visitors, contractual service suppliers, and independent professionals to enter the UK under clear and predictable regulations. Furthermore, provisions allow for up to 1,800 Indian chefs, yoga instructors, and classical musicians to work in the UK annually.

The agreement simplifies compliance by enabling exporters to self-certify the origin of their products, thereby reducing time and paperwork. UK importers can also depend on the knowledge of importers for certification, which further streamlines trade. For small consignments valued under 1,000 pounds, there is no requirement for origin documentation, which supports e-commerce and small businesses. The Product Specific Rules of Origin (PSRs) align with India's existing supply chains in key sectors such as textiles, machinery, pharmaceuticals, and processed food.

Bilateral trade between India and the UK has already reached $56 billion, with the free trade agreement aiming to double this figure by 2030.

Commerce and Industry Minister Piyush Goyal stated, "The India–UK Comprehensive Economic and Trade Agreement (CETA) is crafted to open new avenues for trade and investment while safeguarding India's core economic interests. It combines tariff reductions, simplified trade rules, robust provisions for services, and measures to facilitate professional mobility."

This FTA is expected to act as a catalyst for inclusive growth, benefiting farmers, artisans, workers, MSMEs, startups, and innovators while protecting India's core interests and propelling the nation towards becoming a global economic powerhouse.

CETA grants unprecedented duty-free access to 99 percent of India's exports to the UK, covering nearly the entire trade value. This includes labor-intensive sectors such as textiles, leather, marine products, gems and jewelry, and toys, as well as high-growth sectors like engineering goods, chemicals, and auto components, which will lead to significant employment generation, empowering artisans, women-led enterprises, and MSMEs.

India has opened 89.5 percent of its tariff lines, covering 91 percent of the UK's exports, while safeguarding sensitive sectors and strategically important products where domestic capabilities are being developed. The elimination of duties will make a variety of imported products more affordable for consumers, providing greater variety and quality at competitive prices.