India Must Build Standards And Supply Chains To Reap Full Benefits Of UK Trade Pact: GTRI
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Key takeaway
India-UK FTA effective July 15 removes tariff barriers but GTRI warns India's weak certification, testing, logistics, and buyer networks will limit export gains.
- Step 1 · The triggerIndia-UK FTA eliminates tariffs on most goods from July 15, lowering the cost of Indian exports to the UK
- Step 2 · Knock-onIndian garment, processed food, and seafood exporters gain a price advantage over competitors from non-FTA countries, but must meet UK standards and certification requirements
- Step 3 · Knock-onWithout accredited testing labs and certification bodies in India, many SMEs cannot prove compliance, limiting their ability to actually export under the FTA
- Step 4 · Knock-onBetter-prepared competitors in Bangladesh and Vietnam, who already have certification infrastructure, capture market share that Indian SMEs cannot serve
- Step 5 · Reaches youIndian SME exporters that invest in certification and logistics see higher volumes and margins; those that don't face stagnant or declining exports to the UK
The trigger is reported by the source below. The steps that follow are Branch²’s traced reasoning — how the shock could reach a business like yours, not a prediction.
Source: IN:NDTV Profit
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