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Sector note · 7 October 2026 · By UKISIF · 3 min read

Whisky, gin, salmon and lamb: the CETA opens India's table to UK food and drink

India's tariff on Scotch whisky has halved, and UK salmon and lamb gain better access. The opportunity is real, but distribution and pricing will decide who wins.

Scotch whisky, gin, salmon, lamb and shortbread on a restaurant table overlooking the Mumbai waterfront

For UK food and drink exporters, the India–UK Comprehensive Economic and Trade Agreement is one of the most significant market openings in years. It entered into force on 15 July 2026, and its effect is already visible in the headline category: spirits.

Spirits: the headline gain

India's tariff on Scotch whisky and gin has fallen from 150% to 75%, and will reach 40% by the tenth year of the agreement. India is already one of the world's largest whisky markets by volume. The Scotch Whisky Association has estimated the deal could add up to £1 billion in exports to India over five years and support 1,200 jobs.

The tariff is only part of the price, however. Spirits in India also face state-level excise duties, licensing rules and distribution controls that vary from state to state. Brands that plan state by state, starting with the largest and most open markets, will capture the benefit faster than those that treat India as one market.

Seafood, meat and processed foods

The agreement also improves access for UK salmon, cod and lamb, alongside processed products such as soft drinks, chocolate and biscuits. These categories are smaller today, but India's growing premium retail and hospitality sectors give them room to grow.

What is not included

India has kept some sensitive products out of its tariff cuts, including dairy, cheese, apples, oats and vegetable oils. Exporters in these categories should not expect change.

What UK exporters should do now

  1. Check the tariff code and staging timetable for each product.
  2. Confirm the product meets the rules of origin, and keep the evidence.
  3. Review cold-chain, labelling and food safety requirements with Indian importers.
  4. Choose priority states, especially for spirits, rather than launching nationally.
  5. Decide how much of the tariff saving to pass on in price.

Our view

The tariff cuts make UK food and drink more competitive, but they do not create demand on their own. The winners will pair the new prices with strong distributors and a clear premium story. UKISIF can introduce exporters to state authorities, importers and hospitality buyers, particularly in Maharashtra.

General information only. Sources: GOV.UK, HLC briefing. Related: Agri-Tech & Food · CETA hub

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