The Congress on Thursday took a swipe at the Narendra Modi government ahead of the formal signing of the India-UK Free Trade Agreement (FTA), remarking that what India truly needs from Britain is a different kind of FTA — a "Fugitive Transfer Agreement".

Congress general secretary in-charge communications Jairam Ramesh said, “Three stars of the Modi Model of "bhagodanomics" are still waiting for their ghar wapsi — Vijay Mallya, Nirav Modi, and Lalit Modi. There may well be others too.”

“The India-UK FTA (Free Trade Agreement) will be signed today in London in the presence of Prime Minister Modi. What India needs from the UK is the announcement of another and more effective FTA (Fugitive Transfer Agreement),” Ramesh said on X.

Earlier on Wednesday, the Congress had claimed that serious questions have emerged on FTA's impact on India's domestic industry.

Tariff benefits and market access

In May, India and the UK sealed the FTA after three years of negotiations. The agreement is expected to benefit 99 per cent of Indian exports through tariff elimination and will ease exports of whisky, cars, and other goods from the UK to India while boosting the overall trade basket.

The trade deal is set to provide comprehensive market access for Indian goods across all sectors. According to officials, India will gain from tariff elimination on about 99 per cent of tariff lines, covering nearly 100 per cent of the trade values.

The FTA is India's first major bilateral trade agreement with a developed economy in over a decade and is expected to come into effect after legal clearances from the British Parliament and India's Union Cabinet, likely within a year.

"This is a significant agreement," India's foreign secretary Vikram Misri told reporters on Tuesday, adding that the legal vetting of the deal was near completion ahead of Prime Minister Modi’s four-day visit to the UK and Maldives.

What will India gain?

Alcoholic Beverages: Import duties on Scotch whisky and gin will drop from 150 per cent to 75 per cent immediately and to 40 per cent over the next ten years.

Automobiles: Tariffs on UK-made cars, currently over 100 per cent, will be reduced to 10 per cent under a quota system.

Other Goods: Tariff cuts will apply to a range of UK products including cosmetics, salmon, chocolates, biscuits, and medical devices.

Which Indian sectors will get the most benefits

Sectors likely to benefit from the FTA include textiles, footwear, auto components, gems and jewellery, furniture, sports goods, chemicals, and machinery. Many of these sectors currently face tariffs between 4 per cent and 16 per cent in the UK.

Indian manufacturers of electric and hybrid vehicles will also receive preferential access under a new quota system.

UK’s gain

Indian Exports: 99 per cent of Indian products will receive duty-free access to the UK market, covering nearly all of India’s current trade value.

British government projections suggest the FTA could increase the UK's GDP by £4.8 billion (Rs 56,150 crore) annually over the long term. British consumers are expected to benefit from lower prices on Indian garments, footwear, and food products. India will reduce tariffs on nearly 90 per cent of UK goods.

UK-based firms such as Diageo (Scotch whisky) and British luxury carmakers like Aston Martin and Jaguar Land Rover (owned by Tata Motors) are expected to gain significantly from improved access to India’s growing consumer market.

The UK will also offer temporary access to Indian yoga instructors, chefs, musicians, and other contractual service providers.

Indian professionals posted in the UK will be exempt from paying social security contributions for up to three years. This is expected to save around Rs 4,000 crore annually.

Historic trade deal to be signed in London

The India-UK FTA, billed as the UK's most economically significant bilateral trade deal since leaving the European Union, will be signed in the presence of Prime Minister Narendra Modi and his British counterpart Keir Starmer.

The two prime ministers will also unveil a "UK-India Vision 2035" aimed at elevating the bilateral partnership to new heights in an era of rapid global change.

PM Modi lands in London

Prime Minister Narendra Modi on Wednesday arrived in London for a two-day visit to the United Kingdom, marking the first leg of his two-nation tour. He was greeted with a warm welcome by members of the Indian community in London.

Trade minister Piyush Goyal is accompanying the Prime Minister for the formal signing, according to a commerce ministry official.