India-U.K. Relations: A Next-Generation Partnership Anchored by CETA
UPSC Relevance
Prelims: International Relations (India-UK relations, Free Trade Agreements - FTAs, European Free Trade Association - EFTA); Indian Economy (Foreign Trade, Investment, Bilateral Investment Treaty - BIT).
Mains:
General Studies Paper 2 (International Relations): Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests. The evolving India-UK relationship in the post-Brexit era is a key topic.
Key Highlights from the News
The Comprehensive Economic and Trade Agreement (CETA), signed in July 2025, opens a new chapter in India-UK relations.
CETA's main objective is to double bilateral trade by 2030.
Other key cooperation areas and agreements besides CETA:
Double Contributions Convention (DCC): Exempts Indian professionals working in the UK from double social security contributions, facilitating worker mobility.
Defence Industrial Roadmap: Aims for joint development and manufacturing in the defense sector.
Technology Security Initiative (TSI): Increases cooperation in strategic technologies like AI, quantum computing, semiconductors, and critical minerals.
This partnership, extending beyond trade, is part of Vision 2035, a broad framework encompassing defense, technology, climate action, and education.
For Britain, which left the European Union (Brexit), India is a crucial economic and geopolitical partner. For India, the UK offers investment, technology, and defense cooperation.
India's other major trade agreements: The Trade and Economic Partnership Agreement (TEPA) with the EFTA bloc came into effect on October 1st.
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