The India-UK economic partnership has entered a transformative phase with the signing of the Terms of Reference for the Joint Economic and Trade Committee (JETCO) and the landmark Comprehensive Economic and Trade Agreement (CETA). These milestones, celebrated during the India-UK CEOs Forum held on 9 October 2025 in Mumbai, signal a robust commitment to deepening bilateral trade, fostering investment, and unlocking opportunities for businesses, particularly Micro, Small, and Medium Enterprises (MSMEs), in both nations. The forum, attended by Shri Narendra Modi, Hon’ble Prime Minister of India, and H.E. The Rt Hon Sir Keir Starmer, Hon’ble Prime Minister of the United Kingdom, underscored the shared vision of elevating the economic relationship to new heights.

A Game-Changing Framework for Collaboration

The reset of JETCO marks a pivotal step in strengthening the institutional framework for strategic engagement between India and the UK. This revitalized platform is designed to drive the implementation of the India-UK CETA, which was signed in July 2025 after three years of rigorous negotiations. The agreement aims to significantly enhance bilateral trade, which has already shown remarkable progress. The UK Prime Minister’s recent two-day visit to India secured 10,600 UK jobs and unlocked £1.3 billion in new Indian investments for the British economy. Simultaneously, UK companies confirmed £3.6 billion in new investments into India, opening doors for British businesses to tap into one of the world’s fastest-growing markets.

The CETA is poised to create a robust ecosystem for trade and investment by reducing tariffs, easing market access, and fostering cooperation in sectors such as technology, manufacturing, and services. For India, the agreement promises enhanced export opportunities, particularly for MSMEs, which form the backbone of the economy. By integrating Indian businesses into global supply chains, the CETA will enable small and medium enterprises to scale up, innovate, and compete on a global stage. For the UK, the deal provides access to India’s burgeoning consumer market and dynamic industrial base, fostering mutual prosperity.

Opportunities for MSMEs and Global Market Access

The India-UK CETA is a game-changer for MSMEs, which are critical to both economies. In India, MSMEs contribute significantly to GDP, employment, and exports. The agreement will provide these businesses with preferential access to the UK market, streamlined regulations, and opportunities to collaborate with British firms. Sectors such as textiles, handicrafts, and agritech stand to benefit immensely, as reduced trade barriers will make Indian products more competitive. Similarly, UK-based MSMEs will gain easier entry into India’s vast market, fostering innovation and cross-border partnerships.

The agreement also paves the way for deeper integration into global markets. By aligning standards and facilitating technology transfers, the CETA will enable businesses in both countries to leverage each other’s strengths. For instance, India’s expertise in IT and pharmaceuticals can complement the UK’s leadership in financial services and clean energy, creating synergies that drive global competitiveness.

Tangible Outcomes and Investments

The visit of the UK Prime Minister concluded with remarkable outcomes for both economies:

10,600 UK jobs secured through new commercial partnerships.

£1.3 billion in new Indian investments committed to the UK.

£3.6 billion in new UK investments announced in India, opening doors for British businesses in sectors like renewable energy, financial services, and advanced manufacturing.

These commitments highlight the growing mutual confidence and long-term strategic intent between two of the world’s most dynamic economies.

The Road to Ratification

While the CETA represents a significant milestone, it awaits ratification to come into full effect. In the UK, the agreement must be approved by Parliament, a process that involves rigorous scrutiny to ensure alignment with national interests. In India, the ratification process is simpler, requiring only cabinet approval. Both nations are committed to expediting this process to unlock the agreement’s full potential swiftly.

A Vision for the Future

The India-UK CEOs Forum highlighted the shared ambition of both nations to elevate their economic partnership. Prime Ministers Modi and Starmer engaged with industry leaders to explore avenues for collaboration in emerging sectors such as green technology, artificial intelligence, and healthcare. The forum emphasized the importance of a business-friendly environment, underpinned by policy certainty and mutual trust.

The CETA and the revitalized JETCO framework lay the foundation for a dynamic partnership that transcends traditional trade. By fostering innovation, supporting MSMEs, and expanding market access, the India-UK economic relationship is poised to become a global benchmark for bilateral cooperation. As both nations work toward ratification and implementation, the agreement promises to deliver sustainable growth, create jobs, and strengthen economic ties for years to come.

In the words of Prime Minister Modi, the India-UK partnership is not just about trade but about building a future of shared prosperity. With the CETA as a catalyst, India and the UK are ready to write a new chapter in their storied relationship, one that promises to benefit businesses, communities, and economies on both sides.

Looking Ahead

The India–UK Free Trade Agreement represents more than just a policy milestone — it is a powerful catalyst for growth, innovation, and shared prosperity. By aligning strengths, unlocking trade barriers, and deepening institutional ties, this partnership is set to redefine the future of economic cooperation between India and the United Kingdom.

As both nations move toward ratification and implementation, the world will witness a stronger, more interconnected trade relationship — one that empowers industries, creates jobs, and fosters inclusive global growth.