India clears 642 UK car imports under FTA in two months of implementation
India has approved import quotas for 642 passenger vehicles from Britain. These imports will benefit from concessional tariffs under a new trade pact. Seven companies secured allocations for the remainder of this year's quota. The Directorate General of Foreign Trade had invited applications for vehicle imports. This move facilitates trade under the India-UK Comprehensive Economic and Trade…
New Delhi has approved applications from seven Indian companies for importing 642 passenger vehicles from the United Kingdom under a bilateral free trade agreement, according to a government official. The Directorate General of Foreign Trade had opened applications for vehicle import quotas as part of the India-UK Comprehensive Economic and Trade Agreement (CETA), which took effect on July 15.
The Directorate had invited applications for an annual quota of around 5,000 vehicles. Out of eight applicants, seven were approved, with one applicant receiving a deficiency certificate. The approvals are for the remainder of the year, as the agreement was implemented from July.
Under the CETA, India has been granted access to import 378,000 fossil fuel-powered passenger cars, including mass-market vehicles, from the UK at significantly reduced customs duties for the first 15 years of the agreement. Tariffs for these imports will decrease from around 110% to 10%, with quotas on both countries. Only original equipment manufacturers (OEMs), dealers, and authorized channel partners of UK-origin vehicles can apply for the trade quotas.
The first-year TRQ allocation is 20,000 cars, divided into three engine capacity tiers, each with quotas of 10,000, 5,000, and 5,000 units, respectively.
Written by urgent.news from The Economic Times - Economy's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
