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EconomyPIB17 June 2026

Indiaโ€“UK CETA and Double Contribution Convention to enter into force on 15 July 2026

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๐Ÿ“Œ Summary:

  • India and the UK announced that the Comprehensive Economic and Trade Agreement (CETA) and the Double Contribution Convention (DCC) will enter into force on 15 July 2026
  • CETA provides zero-duty access on ~99% of India's tariff lines, covering nearly 100% of trade value
  • DCC exemption period extended from 3 years to 5 years โ€” a gain for India's temporary workers in the UK (avoids double social-security contributions)
  • CETA expands services exports across 137 sub-sectors, including IT/ITES, professional, education and business services
  • Timeline: groundwork via Enhanced Trade Partnership & Indiaโ€“UK Roadmap 2030 (May 2021) โ†’ CETA concluded 6 May 2025 after 14 rounds โ†’ signed 24 July 2025 in London (Piyush Goyal & Jonathan Reynolds) โ†’ DCC signed 10 February 2026
  • Goal: doubling bilateral trade to USD 100 billion by 2030; exclusion lists protect sensitive agriculture and rural economy

๐ŸŽฏ UPSC Relevance: GS2 IR / GS3 Economy โ€” Free Trade Agreements, economic diplomacy, services trade and labour mobility

๐Ÿ“ Prelims Facts:

  • CETA enters into force: 15 July 2026; signed 24 July 2025 in London
  • Zero-duty access on ~99% of India's tariff lines; 137 services sub-sectors
  • DCC double-contribution exemption raised from 3 to 5 years
  • Trade-doubling target: USD 100 billion by 2030

๐Ÿ”‘ Key Term: Double Contribution Convention (DCC) โ€” bilateral pact exempting posted workers from paying social-security contributions in both countries simultaneously

CETAIndia-UKFTADCC

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