Page 40 - Plastics News Issue June 2025
P. 40
COMPANY NEWS
BPF highlights opportunities for
plastics companies after recent FTA with India
either country for up to three
years.[1]
At that point, 64% of tariff lines
will be eligible for tariff-free
export to India. Further tar-
iff reductions will be phased
in over 10 years, rising from a
£400 million to a £900 million
reduction, ultimately covering
85% of tariff lines. British pro-
ducers and manufacturers will
be permitted to source some
ingredients and materials from
other countries and export the
finished product to India. By
he British Plastics Federation (BPF) has contrast, 66% of existing Indian
suggested the recent free trade agree- imports from the UK will be eligible for tariff-free
Tment (FTA) with India, announced on 6 entry.[2]
May 2025, could benefit the UK plastics indus-
try. Although there are still certain details to be It has been reported in Indian trade press that
clarified, the trade association argues there are the UK’s Carbon Border Adjustment Mechanism
opportunities for growth that UK plastics com-
panies should be aware of.
Although the negotiations have concluded, the
UK and India are now finalising the legal text of
the free trade agreement and a legally binding
treaty. After both the UK and India have com-
pleted their respective ratification processes,
a Double Contributions Convention (DCC) will
come into force too, which was negotiated
concurrently. The DCC is designed to stop em-
ployees having to pay social security in multiple
countries if staff move between the India and (CBAM), which intends to impose levies on high-
the UK, permitting “temporary” employment in carbon imports from 2027, remains a poten-
40 PLASTICS NEWS June 2025
