London [UK], July 24 (ANI): Prime Minister Narendra Modi lauded the signing of the landmark India-UK Free Trade Agreement on Thursday, stating that the agreement marked a significant milestone in bilateral relations between the two nations.

During a joint press statement with UK Prime Minister Keir Starmer, PM Modi highlighted the enhanced market access and economic opportunities for both nations while expressing gratitude for the warm hospitality he received during his official visit to the country.

'First of all, I would like to express my heartfelt gratitude to Prime Minister Starmer for the warm welcome and gracious hospitality. Today marks a historic day in our bilateral relationship. I am pleased to note that, after many years of hard work, the Comprehensive Economic and Trade Agreement between our two countries has been concluded,' PM Modi stated.

Earlier today, the much-awaited landmark India-UK FTA was signed in the presence of PM Modi and Keir Starmer, providing greater access to goods and services between the two countries. PM Modi is currently on a two-day official visit to the UK.

'This agreement not only paves the way for economic partnership but also serves as a blueprint for our shared prosperity,' PM Modi emphasised.

He noted that Indian sectors such as textiles, footwear, gems and jewellery, seafood, engineering goods, agricultural products, and processed foods will gain improved access to the UK market, benefiting youth, farmers, fishermen, and MSMEs from the country.

For the UK, the agreement ensures more affordable access to its products, including medical devices and aerospace components, in India.

'On one hand, Indian textiles, footwear, gems and jewellery, seafood, and engineering goods will now have better access to the UK market. Indian agricultural products and processed food industries will also find new opportunities in the UK. This agreement will prove beneficial to the youth, farmers, fishermen, and the MSME sector in India,' PM Modi said.

'On the other hand, people and industries in India will be able to access products made in the UK--such as medical devices and aerospace components--at more affordable prices,' he further noted.

On May 6, Prime Minister Modi and Starmer, announced the successful conclusion of a mutually beneficial India-UK Free Trade Agreement (FTA). This forward-looking Agreement is aligned with India's vision of Viksit Bharat 2047 and complements the growth aspirations of both countries.

The idea behind the trade deal is to eliminate or reduce tariffs on imports and exports between the two nations. This should make Indian products competitive in the UK and vice versa. Both nations desire to increase their trade to USD 120 billion by 2030.

The FTA is expected to boost key sectors such as textiles, leather, footwear, sports goods and toys, marine products, gems and jewellery, engineering goods, auto parts and engines, and organic chemicals.

'The FTA ensures comprehensive market access for goods, across all sectors, covering all of India's export interests. India will gain from tariff elimination on about 99% of the tariff lines covering almost 100 per cent of the trade value offering huge opportunities for increase in the bilateral trade between India and the UK,' India's Commerce and Industry Ministry had said in its release on May 6.

The UK government said India's average tariff on UK products will drop from 15 per cent to 3 per cent under India-UK FTA.

The UK statement today asserted that British companies selling products to India -- from soft drinks and cosmetics to cars and medical devices -- will find it easier to sell to the Indian market.

Further, British whisky producers will benefit from tariffs slashed in half, reduced immediately from 150 per cent to 75 per cent and then dropped even further to 40 per cent over the next ten years - giving the UK an advantage over international competitors in reaching the Indian market, the UK statement noted. (ANI)