Contemporary India, August 2nd Update
The India-UK Comprehensive Economic and Trade Agreement (CETA) has been signed, marking a significant step towards boosting trade, investment, and job creation for both nations. The agreement aims to double bilateral trade from about $56 billion to over $100 billion by 2030, creating a win-win scenario for labor-intensive sectors in India and growth sectors like manufacturing and clean energy in the UK.
The agreement eliminates tariffs on almost all Indian exports, particularly benefiting sectors such as textiles, leather, footwear, marine products, sports goods, and gems and jewellery. This move will enhance exports and market share in the UK, supporting job creation in India's labor-intensive industries.
In addition, CETA provides improved market access to Indian IT, financial, legal, professional, and educational services in the UK. It simplifies mobility for contractual service suppliers, business visitors, investors, intra-corporate transferees, and independent professionals such as engineers, architects, chefs, and yoga instructors.
The agreement also includes provisions for the Double Contribution Convention (DCC), exempting Indian workers and employers in the UK from paying duplicate social security contributions for up to three years. This move promotes cost competitiveness and facilitates cross-border employment.
Furthermore, the deal allows British firms greater access to Indian procurement opportunities, particularly in sectors like clean energy, while Indian firms gain increased access to UK markets. Investment talks are ongoing to further develop this aspect.
The CETA agreement supports job creation in India’s labor-intensive sectors and the UK’s growth sectors such as manufacturing and clean energy. It also facilitates professional mobility, further supporting employment and knowledge exchange.
The agreement benefits women and youth entrepreneurs, farmers, fishermen, startups, and MSMEs by integrating them into global value chains. Duty concessions also promote traditional Indian products like Bhagalpur silk, Pashmina shawls, Kolhapuri chappals, and regional foods, enhancing their presence in the UK market.
The CETA is India’s first FTA to include comprehensive chapters on social and developmental issues such as labor rights, gender equality, anti-corruption, and sustainable development, setting a benchmark for future trade agreements.
Meanwhile, Kolkata, a city in India, is renowned for its delectable Bengali sweets. Iconic Bengali sweets include rosogolla, sandesh, and mishtidoi, reflecting deep-rooted culinary traditions in India.
In a separate development, the Indian government is implementing a mission for Education for All, aiming to break financial and social barriers, making quality education a right for every child. Various government schemes, including scholarships, mid-day meals, digital classrooms, and residential schools, are boosting enrolment and inspiring children to learn and dream big.
The beauty and personal care industry in India is experiencing rapid growth, driven by a youthful population, rising incomes, and increased awareness of skincare and grooming. The industry is catering to diverse preferences, with global giants and innovative homegrown startups participating in this boom.
In conclusion, the India-UK CETA is a wide-ranging free trade agreement that removes significant trade barriers, promotes investment, and supports employment by enhancing market access for goods and services, enabling labor mobility, and fostering economic cooperation with a strong emphasis on inclusive and sustainable development. The agreement also supports the growth of the beauty industry in India and the education sector in India, ensuring no child is left behind in urban or rural areas.
The India-UK Comprehensive Economic and Trade Agreement (CETA) extends improved market access to Indian education and self-development services in the UK, thereby fostering knowledge exchange and professional mobility.
The Indian government's Education for All mission, aimed at breaking financial and social barriers, aligns with the CETA's focus on sustainable development and inclusive growth, ensuring educational opportunities for all children, urban or rural.
