The signing of a free trade agreement with India is the most important deal for the UK after Brexit

India and the United Kingdom signed a landmark free trade agreement, which is the most important deal since the UK's Brexit.

Reuters reported that Indian Prime Minister Modi said on Tuesday (May 6th) that this agreement will further deepen the comprehensive strategic partnership between the two countries and promote economic trade, investment, growth, job creation and innovation.

British Prime Minister Stammer also said, "We are now in a new era of trade and economy, which means that the UK must further accelerate its pace, enhance its economic strength, strengthen its alliance with economies around the world, and reduce trade barriers. This is part of our reform plan."

Tariffs on goods such as whisky and advanced manufacturing components, as well as foods such as lamb, salmon, chocolate and biscuits, will be reduced. Furthermore, the agreement also agrees that both sides will implement a quota system for car imports.

The two countries are also seeking to reach a bilateral agreement with the United States to eliminate some tariffs imposed by US President Trump that have disrupted the global trading system.

The free trade agreement negotiations between India and the UK were initially initiated in January 2022 and became a symbol of the UK's hope for an independent trade policy after Brexit. However, the negotiations were intermittent and finally reached after three years. This agreement aims to increase bilateral trade volume by 25.5 billion pounds by 2040 through free market access and relaxation of trade restrictions.