Scotch whisky in the spotlight during Starmer's 1st India visit
What's the story
UK Prime Minister Keir Starmer is on his first official visit to India, a two-day trip that began today. The trip comes after the historic Free Trade Agreement (FTA) signed between India and the UK in July. The FTA is expected to significantly benefit the Scotch whisky industry, with projections of an annual boost of £190 million ($244 million) to the country's economy.
Trade delegation
Scotch whisky sales to India expected at £1B/year
Members of the Scotch Whisky Association are a part of Starmer's trade mission. The delegation hopes to explore a potential increase in whisky sales to India, estimated at £1 billion ($1.3 billion) a year. This could create more than 1,000 new jobs across the UK, further strengthening the country's economy.
Diplomatic discussions
High-level talks with Indian ministers, business leaders
During his visit, Starmer will hold high-level talks with senior Indian ministers and business leaders. The aim is to strengthen bilateral trade and diplomatic relations for the benefit of the entire UK. Douglas Alexander, UK's Secretary of State for Scotland, said that their responsibility now is to implement this historic trade deal with India into action.
Tariff reduction
CETA will open access to 'world's largest whisky market'
Under the India-UK Comprehensive Economic and Trade Agreement (CETA), the Indian import tariffs on Scotch whisky will be slashed significantly after the British Parliament ratifies it next year. Mark Kent, Chief Executive of the Scotch Whisky Association, said this would open access to "the world's largest whisky market" and provide more choices for Indian consumers.
Economic impact
CETA expected to boost bilateral trade by £25.5B
The UK government has stressed that the landmark CETA will benefit all parts of the country, including other iconic Scottish products like shortbread and Irn Bru. Officials expect the agreement to increase bilateral trade by £25.5 billion ($32.4 billion), boost UK's GDP by £4.8 billion ($6.1 billion), and raise wages by £2.2 billion annually in the long term.