Businesses and workers across Northern Ireland stand to gain significantly from the UK’s newly signed trade deal with India, with recent analysis projecting a £50 million boost to the local economy. This landmark agreement, inked by UK Business and Trade Secretary Jonathan Reynolds and India’s Commerce Minister Piyush Goyal during a meeting between Prime Minister Keir Starmer and Indian Prime Minister Narendra Modi, forms a key part of the UK's broader Plan for Change. The deal is hailed as a major milestone in strengthening bilateral trade ties and unlocking substantial growth opportunities for Northern Ireland’s core sectors.

The agreement promises to reduce or virtually eliminate tariffs on a broad range of goods and services, benefiting Northern Ireland’s advanced manufacturing and engineering sectors, which together account for about 30% of local employment. Medical technology firms are also set to benefit, with tariffs on medical devices, which currently range between 8.25% and 13.75%, being halved or removed over the coming decade. Irish whiskey producers will see a substantial reduction in duties, with tariffs immediately falling from 150% to 75%, and further decreasing to 40% over ten years. The deal also provides producers with greater flexibility to use Irish barley or neutral grain spirit and bottle products in transit to India, enhancing their competitive edge in the expanding Indian market.

Northern Ireland businesses are already trading robustly with India; last year, 143 exporters shipped £65 million worth of goods to this growing market. Lower tariffs, simplified customs procedures, and fewer trade barriers under the agreement are set to drive a sharp rise in these figures. The deal aligns with a broader UK-India trade package worth nearly £6 billion overall, which is expected to create more than 2,200 jobs across the UK and Northern Ireland combined.

More broadly, the agreement is notable for its comprehensive tariff reductions affecting nearly 90% of UK exports to India. Beyond Northern Ireland, sectors such as cosmetics, lamb, salmon, soft drinks, chocolate, and electrical machinery stand to benefit. On the flip side, the UK will remove duties on 99% of Indian goods, including clothing, footwear, and food, while also opening service sector access to Indian professionals like chefs, yoga instructors, and musicians. This large-scale free trade deal, the most significant bilateral agreement since Brexit, is projected by various economic analyses to increase bilateral trade by £25.5 billion by 2040 and add approximately £4.8 billion annually to the UK economy.

Industry voices from Northern Ireland are optimistic. For instance, Philip McKee, sales manager at Biopanda, a Belfast-based medtech manufacturer exporting diagnostic products to India, highlights that the removal of export barriers is expected to increase trade volumes with India, enhancing their market presence.

Government officials underline the transformative potential of the deal. Secretary of State for Northern Ireland Hilary Benn described it as a landmark agreement that will bring immediate and tangible benefits, unlocking significant growth potential across sectors including advanced manufacturing, engineering, medical technology, services, and technology.

The agreement is heralded not only for economic gains but also as a strategic blueprint for the UK’s future trade relations with advanced economies, demonstrating a template for tariff agreements and service sector liberalisation. However, as this deal unfolds, its impact will be closely monitored, particularly how swiftly businesses can capitalise on the opportunities it presents and navigate any remaining logistical or regulatory challenges.