India-UK CETA: Estimating Market Access Opportunities for India

V.C. Sabeer, Sunitha Raju and Ninad Shah

MPRA Paper from University Library of Munich, Germany

Abstract: We analyse the potential market access opportunities provided by CETA structured into two stages : (i) identify untapped export potential in India-UK bilateral trade and assess their export prospects; (ii) analyse how India’s exports respond to tariff reductions based on CES demand function. Together these dimensions explain why India’s global export performance for these products has not translated into expansion in UK market. We identified 140 export potential products and based on spatial-infrastructural perspective, our results show that tariff liberalization only provides a favourable price environment but India must build export linkages and strengthen supply chain capacities to convert this potential into tangible trade gains. The simulation results show that CETA results in an increase of USD 1.59 billion gain in India’s exports and the largest gains are concentrated in Textile and Apparel (HS 61–63), Aluminium (HS 76), Prepared food products (HS 20) and Cereal preparations (HS 19) with modest gain in other sectors. For unlocking substantial export potential gains it is necessary to overcome both demand- and supply-side hurdles. Exporters must align with UK market requirements, while policymakers should focus on facilitating B2B partnerships, supporting compliance with UK standards, and addressing non-tariff barriers.

Keywords: Trade Policy; FTA; CETA; Partial equilibrium; India; U.K. (search for similar items in EconPapers)
JEL-codes: F13 F14 F17 (search for similar items in EconPapers)
Date: 2025-11-29
References: Add references at CitEc
Citations:

Downloads: (external link)
https://mpra.ub.uni-muenchen.de/129178/1/MPRA_paper_129178.pdf original version (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:129178

Access Statistics for this paper

More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter ().