Question 1

The India-UK Free Trade Agreement is still under negotiation and stalled due to labor mobility issues.

Accepted Answer

The agreement was successfully signed as the Comprehensive Economic and Trade Agreement (CETA) in July 2025 under PM Starmer.

Question 2

The CETA allows completely free movement of people between India and the UK.

Accepted Answer

It only allows a specific, quota-based fast-track visa process for skilled digital and tech workers, not general freedom of movement.

Question 3

Consider the following statements regarding the India-UK bilateral relationship:
1. The India-UK Comprehensive Economic and Trade Agreement (CETA) eliminates customs duties on 100 percent of goods traded between the two nations.
2. The Vision 2035 roadmap replaces the earlier Roadmap 2030, putting a specialized focus on digital public infrastructure and fintech.
3. As part of the CETA, a full Social Security Totalization Agreement was implemented, refunding contributions to short-term Indian workers in the UK.
How many of the above statements are correct?

Accepted Answer

(a) Only one — Statement 1 is incorrect: CETA provides zero-duty access to over 90 percent of goods, not 100 percent (certain sensitive sectors remain protected). Statement 2 is correct: Vision 2035 was reviewed in October 2025 to replace Roadmap 2030. Statement 3 is incorrect: The UK did not concede on a Social Security Totalization Agreement; short-term Indian workers still lose their contributions. Therefore, only statement 2 is correct.

Question 4

Match List I (Agreements/Events) with List II (Descriptions):
List I:
A. Roadmap 2030
B. Vision 2035
C. DPDP Act, 2023
D. Social Security Totalization

List II:
1. Replaced older frameworks to focus on advanced AI and DPI.
2. Adopted in 2021 to elevate relations to a Comprehensive Strategic Partnership.
3. A demand by India that was ultimately left out of the finalized CETA.
4. Indian legislation that enabled the UK to allow cross-border financial data flows.

Select the correct answer code:

Accepted Answer

(a) A-2, B-1, C-4, D-3 — Roadmap 2030 (A) was adopted in 2021 by Modi and Johnson (2). Vision 2035 (B) is the new framework focusing on AI/DPI (1). The DPDP Act, 2023 (C) is the domestic Indian law that facilitated UK recognition for data flows (4). Social Security Totalization (D) was a major Indian demand that was excluded from CETA (3).

Question 5

Assertion (A): The India-UK CETA features flexible Rules of Origin (ROO) provisions for the Indian apparel manufacturing sector.
Reason (R): Flexible Rules of Origin allow Indian apparel exporters to source raw materials from third nations while still qualifying for preferential tariffs in the UK.
Select the correct answer from the codes below:

Accepted Answer

(a) Both A and R are true and R is the correct explanation of A. — The assertion is true: CETA introduced flexible Rules of Origin, a major shift from previous restrictive norms. The reason is also true and correctly explains the assertion: the definition of 'flexible ROO' means that an exporter does not have to source 100% of inputs domestically to be considered 'originating' in India for tariff purposes, thus directly benefiting sectors like apparel that rely on imported fabrics or yarn.

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