JERSEY businesses are now able to benefit from reduced tariffs when trading with India after the Island was included in a major new trade agreement.
The UK-India Comprehensive Economic and Trade Agreement came into force on 15 July, with provisions covering trade in goods immediately extended to Jersey.
It means Island firms can benefit from phased tariff reductions across 90% of goods tariff lines over the next decade, while 64% became tariff-free from the agreement’s first day.
Current direct trade between Jersey and India is relatively small, with around £630,000 of imports – mainly clothing and jewellery – and £16,500 of exports recorded between 2018 and 2022. However, the government said the figures were unlikely to capture goods passing through the UK.
The agreement could also eventually be extended to services, with the government identifying potential opportunities for Jersey’s finance industry in the Indian market.
Ministers said participation was strategically important to Jersey’s “long-term economic interests” and maintaining the Island’s customs arrangements with the UK.
