Boost for India's Pharma Exports: Zero Duty Access to UK Market

In a bid to bolster its pharmaceutical industry, India has secured a landmark free trade agreement with the United Kingdom, promising a zero-duty regime on exports of its generic medicines and medical devices. The agreement, signed in London, sees both Prime Minister Narendra Modi and UK Premier Keir Starmer endorsing the move that aims to fuel economic ties.

According to a commerce ministry official, pivotal sectors such as surgical instruments, diagnostic equipment, ECG machines, and X-ray systems will now enter the UK duty-free, enhancing the competitiveness of Indian medical technology companies. With the UK's shift away from relying on Chinese imports following Brexit, Indian manufacturers are poised to become a preferred, cost-effective supply alternative.

The UK remains India's most significant pharmaceutical market in Europe, with India exporting $23.31 billion globally and the UK importing approximately $30 billion. Although Indian pharma currently contributes under $1 billion to this market, the agreement provides ample room for growth, given India's significant presence and strategic importance in global pharmaceutical trade.

(With inputs from agencies.)