India-UK CETA: Catalyst for Services Export Growth
India’s services sector has emerged as a key driver of export growth, playing an increasingly important role in the country’s global trade. As India expands its network of Free Trade Agreements (FTAs), these agreements present significant opportunities to strengthen and diversify the country’s services exports. In this context, FICCI has prepared a report titled “India–UK CETA: Catalyst for Services Export Growth,” which examines the opportunities for Indian service providers under the India–UK Comprehensive Economic and Trade Agreement (CETA).
The report assesses India’s position in the UK services market and the evolving structure of UK services imports. It examines India’s participation across key service categories and identifies areas with potential for further expansion. It also analyses relevant CETA provisions, including the UK’s commitments, and their significance for Indian service suppliers. The report also outlines recommendations to strengthen market access, improve utilisation of the Agreement, and support the continued expansion and diversification of India’s services exports to the UK.
Key Takeaways
- India has emerged as one of the most dynamic countries with its share in global services exports increasing from 3% in 2015 to 4.3% in 2025.
- India’s services exports in the external sector have grown, with services exports reaching almost half, at 48.3%, of total trade, with a value of US$ 416 billion in 2025.
- The UK is among the world’s largest markets for services, accounting for nearly 5% of global services imports and ranking as the fifth-largest importer.
- India's services exports to the UK’s increased significantly from US$ 8.8 billion in 2021 to US$ 18.8 billion in 2024, registering a CAGR of 28.7%.
- The export basket is concentrated primarily in other business services, telecommunications, computer and information services and travel, accounting for more than 90% of India's services exports to the UK.
- The UK has made commitments in 137 sub-sectors—well beyond its GATS coverage, covering areas of core interest to India, such as IT/ITeS, professional, business, financial, veterinary services, educational services, chef de cuisine services, yoga instructors and classical musicians’ services.
- The India–UK CETA builds on this foundation, converting existing openness into legally binding, commercially actionable opportunities for Indian services exporters.