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Overview
The UK-India Free Trade Agreement (FTA), also known as the Comprehensive Economic and Trade Agreement (CETA), entered into force on 15 July 2026. The FTA includes a dedicated chapter on digital trade. This chapter is designed to make it easier for UK businesses to trade goods and services digitally with India. It sets out commitments that support open digital markets, protect consumers, and promote innovation, while respecting each country’s regulatory autonomy.
Digital trade refers to commerce enabled by electronic means. This includes selling goods and services online, using digital platforms, and transferring data, such as source code, across borders. For UK businesses, these provisions create a predictable and transparent framework for trading digitally with one of the world’s fastest growing digital economies.
Opportunities for UK businesses
India is undergoing a rapid digital transformation. With over 1 billion internet users, a thriving start-up ecosystem, and strong demand for digital services, India offers significant opportunities for UK businesses. The FTA helps UK exporters and service providers take advantage of these opportunities by supporting the trusted, open and predictable regulation of the online marketplace. The digital trade chapter of the FTA introduces several practical measures that UK businesses can benefit from.
Opportunities for digital trading
Electronic contracts
The agreement ensures that electronic contracts are legally valid and cannot be considered invalid just because they are in electronic form.
However, India might impose specific criteria regarding electronic contracts, including some circumstances where they are not accepted. You should check local regulations for more information.
Electronic authentication and trust services
Electronic signatures and electronic authentication increase trust in e-commerce by helping to verify that transactions (and the people behind them), are genuine. The agreement ensures that electronic authentication and trust services, such as electronic signatures and time stamps are considered legally valid. Strengthening the legal validity of electronic trust services provides greater confidence that transactions can be concluded through electronic means.
However, India might impose specific criteria regarding electronic trust services and authentication, including some circumstances where they are not accepted. You should check local regulations for more information.
You have the freedom to determine the best way of authenticating your transaction. However, for some transaction categories, there can be specific requirements.
The agreement also encourages mutual recognition of trust services, which supports smoother cross-border digital interactions in the future.
Paperless trading
Paperless trading refers to the conduct of trade activities using electronic rather than paper documents. This reduces administrative costs and improves efficiency of processes, benefiting UK businesses across all sectors.
The UK and India have committed to accept trade documents in electronic form, where possible, and to treat them as legally equivalent to paper versions. There may be some exceptions, and you should check local regulations for more information.
The UK and India have also committed, where possible, to making trade administration documents available in electronic form.
Safer trading online for your business
Online consumer protection
The agreement recognises the importance of strong and transparent consumer protection measures to guard against misleading, deceptive, fraudulent or unfair practices in digital trade.
Under the agreement, the UK and India have committed to maintaining effective consumer protection laws for online transactions, including rules that prohibit harmful commercial practices.
Protected source code
The UK and India have agreed that businesses are not required to give access to – or transfer – source code (including algorithms embedded in it), except in specific legal and regulatory circumstances.
Rules of origin
To benefit from reduced or zero tariffs under the FTA, UK exporters must ensure their goods meet the agreement’s rules of origin. These rules determine whether a product is considered to originate in the UK and therefore qualifies for preferential treatment.
There are 3 main ways a good can qualify as originating under the agreement – it is:
- wholly obtained or produced in the UK or India
- made entirely from originating materials sourced from the UK or India
- produced using non-originating materials but meets specific product-level rules known as product-specific rules (PSRs)
Register with HM Revenue and Customs
Under the FTA a claim for preferential tariff treatment can be made by the importer on the basis of an origin declaration completed by a UK producer or exporter. To do so, a UK producer or exporter must be registered with HMRC prior to completing origin declarations.
Register to complete origin declarations under the UK-India Free Trade Agreement on GOV.UK.
If you have not registered with HMRC your origin declarations will be rejected and your importer will not be able to claim preference.
Registered UK exporters or producers must also provide a self-certificated origin declaration to Indian customs and the Indian importer before a claim for preference is made by the importer.
For detailed guidance, refer to the rules of origin guide which explains the criteria and provides sector-specific examples.
Department for Business and Trade support
The Department for Business and Trade (DBT) helps businesses export, drives inward and outward investment, negotiates market access and trade agreements, and champions free trade. Helpful links, tools and services available from DBT and wider government include:
Export Support Service (ESS) team
Get support on how to do business abroad. Businesses in Wales can also access support from Business Wales.
Export Support Service – International Markets (ESS-IM)
DBT's overseas in-market export support service for SMEs with high-export potential. Our International Market Advisers provide tailored support and market introduction information to new and current UK exporters looking to enter or expand into new markets. The service may be accessed globally with International Markets teams in South Asia, China, the Middle East, Africa, Eastern Europe, North America and Latin America.
Sign up to access webinars on how to grow your international sales.
Information on finance and insurance for UK exports.
Trade and investment factsheets
The latest statistics on trade and investment between the UK and individual overseas partners.
Overseas business risk profiles
Information for UK businesses on political, economic and security risks when trading overseas.
Advice and warnings about travel abroad, including entry requirements, safety and security, health risks and legal differences.
Check or report a trade barrier
If you encounter an issue when exporting to any country – report the issue and UK government officials will be able to assess the issue and consider the options we have open to addressing it as appropriate.
Search for your specific product to find applicable tariffs for each market, explore rules of origin and step-by-step help on customs procedures.
Check import duties and allows you to check the status of available tariff rate quotas.
Useful resources
Prior to export, you must be aware of local regulations and import conditions in India that apply to your goods or services. This can include tax considerations, labour laws, intellectual property rules, labelling and packaging regulations, among others.
To seek further information related to local regulations, business culture, or to find a local lawyer, translator, importer, or distributor, you can use the following contacts:
Legal disclaimer
This document is provided as an information guide only and should not be relied on as a substitute for your own research or independent advice.
No investment and/or business decision should be made solely on the basis of information presented in this document. It is recommended that an independent due diligence investigation is conducted before entering into engagement with any individual, business or other organisation mentioned.
The Department for Business and Trade accepts no responsibility for any loss or damage caused to any person as result of any error, omission, inaccurate or misleading statement in this document.
The accuracy, completeness or timeliness of the content of any website mentioned in this document is not guaranteed in any way, implied or explicit.