Cotton bed linen 12% to 0%, cotton T-shirts 9.6% to 0%: which Indian goods gained from CETA
Since 15 July 2026 most Indian goods can enter the UK at 0% duty if they meet the origin rules and the buyer claims it, but the real saving depends on what India paid before. A code-by-code lookup.
On this page
- Which Indian products are duty-free in the UK under the India-UK FTA?
- Why did some Indian products gain more than others?
- Which HS codes lost their full UK duty rate under CETA?
- How much did T-shirts, footwear, ceramics and food save after DCTS?
- Which Indian products have gained nothing from the trade deal so far?
- Which Indian products are excluded from the India-UK FTA?
- Are the UK's cuts phased, and where does the 90% figure come from?
- How do I check whether my HS code gained from CETA?
- What must be in place before the buyer can claim 0%?
- Questions exporters ask
- Sources
At a glance
- Cotton bed linen and woven cotton dresses: India paid the full rate
- 12% to 0%
- Hand-made wool shawls (6214200010): India's 6.4% DCTS rate was suspended
- 8% to 0%
- Cotton T-shirts: the real cut, as India already paid the DCTS rate
- 9.6% to 0%
- DCTS-graduated chapters: India paid the standard rate (check chapter 73)
- 19 chapters
Bottom line: Your saving is the rate India actually paid on 14 July 2026, not the headline rate: the full rate on honey and in the 19 DCTS-graduated chapters (check chapter 73), the DCTS rate elsewhere (14.5% on other prepared fruit), and nil where either was already 0%.
In short
- Since 15 July 2026 the UK has offered 0% customs duty on almost every Indian tariff line, for goods that meet the CETA origin rules. Nothing is phased on the UK side except the electric, hybrid and hydrogen car quota.
- The real saving is the rate India actually paid on 14 July 2026, which was often a lower DCTS rate rather than the standard UK rate.
- On the tariff, India paid the full standard rate in its 19 DCTS-graduated chapters (cotton bed linen 12% to 0%, hand-made wool shawls 8% to 0%; chapter 73 needs checking) and on lines with no DCTS Standard rate, such as honey (16% to 0%). Some non-graduated lines also saved a lot: 14.5 points on other prepared fruit and 11.9 on sports footwear.
- Cotton T-shirts saved 9.6 points, not 12. Toys in sets, agarbatti and some women's leather footwear have saved nothing so far, because India already paid 0% under DCTS. From 15 July 2028, when India leaves DCTS, only a CETA claim keeps them at 0%.
- Mango, black tea, turmeric, handmade paper, copper cookware, brass ornaments and stainless-steel kitchenware were already 0% for every country, and milled rice, sugar and some meat and egg lines are excluded.
- Zero duty is not automatic: the goods must originate under CETA (wholly obtained, made only from UK or Indian materials, or meeting the Annex 3A rule for their code), and the UK importer must claim preference, normally with a valid proof of origin.
Which Indian products are duty-free in the UK under the India-UK FTA?
The UK-India Comprehensive Economic and Trade Agreement (CETA) entered into force on 15 July 2026. On the UK side, every tariff line sits in one of three categories in the UK schedule, Appendix 2A-b to Annex 2A:
- Category A: customs duty is eliminated on the date of entry into force. This covers almost everything, including textiles, footwear, ceramics, processed food and honey.
- Category U: excluded from any commitment to cut duty. This covers milled rice, cane or beet sugar and some pork, chicken and egg lines.
- TRQ: a tariff quota, used only for electric, hybrid and hydrogen cars. It opens in year 6 at 17,600 units and reaches 88,000 units from year 15, with cars above £80,000 CIF excluded.
Apart from that car quota, there is no phasing on the UK side. A category A line went to 0% on day one, so there is no later-year rate to wait for. The UK government says 99% of Indian goods entering the UK are now duty-free or face reduced tariffs. India's Press Information Bureau (PIB) says zero-duty access covers nearly 99% of India's exports and almost 100% of trade value.
- CETA in force: every category A line went to 0% on this date
- 15 July 2026
- Indian goods entering the UK duty-free or at reduced tariffs (UK government)
- 99%
India's government also publishes zero-duty line counts by sector. PIB does not say which nomenclature they use or whether the counts overlap, so do not add them up.
- Engineering tariff lines at zero duty (PIB, Indian government)
- 1,659
- Agriculture tariff lines at zero duty (PIB)
- 1,437
- Textile tariff lines at zero duty (PIB)
- 1,143
- Processed food tariff lines at zero duty (PIB)
- 985
The UK schedule has 44 category U entries by our count, set out at 4, 6 or 8 digits, so that is not 44 UK commodity codes. The headline numbers also hide what an exporter needs to know: how much did my product save? This summary answers by category. Ranges cover only the lines checked in this guide, and your own 10-digit code decides the rate. Milled rice and sugar are excluded altogether.
| Category | India paid before CETA | Since 15 July 2026 |
|---|---|---|
| Cotton bed, table and terry linen; woven cotton dresses, blouses and shirts (chapters 62, 63) | 12% | 0% |
| Hand-made wool or silk shawls (6214); flat-woven and kelem rugs (5702) | 2% to 8% | 0% |
| Natural honey (0409) | 16% | 0% |
| Knitted cotton T-shirts and dresses (chapter 61) | 9.6% (DCTS) | 0% |
| Footwear (chapter 64) | 0% to 11.9% (DCTS) | 0% |
| Ceramics and terracotta (chapter 69) | 0% to 8.4% (DCTS) | 0% |
| Biscuits, vinegar pickles, other sauces, instant coffee, prepared fruit (chapters 19 to 21) | 2.5% to 14.5% (DCTS) | 0% |
| Mango, black tea, turmeric, handmade paper, copper, brass and stainless-steel kitchenware, wooden furniture, smartphones | 0% already | No change |
This page is the exporter's lookup. If you are the UK buyer, the guide to UK import duty on goods from India covers the same rates alongside import VAT.
Why did some Indian products gain more than others?
India is a Standard Preferences country under the UK's Developing Countries Trading Scheme (DCTS) until it leaves the scheme on 15 July 2028. Before CETA, Indian goods on many lines already paid a reduced DCTS rate rather than the standard third-country rate. For those lines, 'standard rate to 0%' overstates the gain.
The exception is graduation. From 1 January 2026 to 31 December 2028, India's DCTS rate is suspended in 19 chapters. On the tariff, Indian goods in those chapters paid the full standard rate until CETA arrived, with one caution on chapter 73 below:
- Textiles: chapters 50 to 58, which include fibres, yarns, fabrics, carpets and rugs
- Apparel and made-up textiles: chapter 62 (woven garments, shawls) and chapter 63 (bed linen, towels, furnishings)
- Leather goods and jewellery: chapters 42 and 71
- Milling products such as flours and starches (11), fats and oils (15), chemicals (28, 29), stone articles (68) and iron or steel articles (73, see the caution below)
Knitted apparel (chapter 61), footwear (64), ceramics (69) and processed food (chapters 19 to 21) were not graduated. India kept its DCTS rate there, so CETA took those lines to 0% from a lower starting point.
The rule for your product is simple. The saving is the rate India actually paid on 14 July 2026: the DCTS Standard rate if one existed and India was not excluded from it, otherwise the standard third-country rate.
- Saved so far on toys in sets and agarbatti, where India's DCTS rate was already 0%
- 0 points
- What India paid before CETA on woven against knitted cotton apparel
- 12% vs 9.6%
- India leaves DCTS; until then importers may claim DCTS or CETA
- 15 July 2028
During the transition, DCTS and CETA proofs of origin are not interchangeable. In the graduated chapters, DCTS offers Indian goods nothing, so CETA is the only preference.
Which HS codes lost their full UK duty rate under CETA?
These lines sit in DCTS-graduated chapters, or had no DCTS Standard rate at all, so the full standard rate disappeared. Each code links to its live UK Trade Tariff page.
| UK code | Product | India paid to 14 July 2026 | CETA rate |
|---|---|---|---|
| 6302310000 | Cotton bed linen, not printed or knitted | 12% | 0% |
| 6204420090 | Women's woven cotton dresses | 12% | 0% |
| 6205200090 | Men's woven cotton shirts | 12% | 0% |
| 6302600090 | Terry cotton toilet and kitchen linen | 12% | 0% |
| 6304920090 | Cotton furnishing articles, not knitted, such as cushion covers | 12% | 0% |
| 6214200010 | Hand-made shawls of wool or fine animal hair | 8% | 0% |
| 5702990090 | Flat-woven rugs of other textiles, such as cotton dhurries | 8% | 0% |
| 0409000090 | Natural honey, other than Manuka | 16% | 0% |
The same 12% to 0% applies to printed cotton bed linen (6302210089), cotton table linen (6302510090) and women's woven cotton blouses (6206300090). Hand-made silk shawls (6214100010) and flat-woven wool rugs (5702910000) moved from 8% to 0%. Hand-made cotton blankets (6301309010) moved from 6%.
PIB says India exports US$1.79bn of textiles to the UK, a 6.1% share, and that CETA removes India's tariff disadvantage against Bangladesh, Pakistan and Cambodia.
Natural honey has no DCTS Standard rate, so India paid the full 16%. CETA cut that to 0%, but honey must be wholly obtained in India, and UK food import controls still apply.
Small gains count too. Kelem and similar hand-woven rugs (5702100000), hand-made leather handbags (4202210010), gold jewellery (7113190000) and silver jewellery (7113110000) each moved from 2% to 0%. India was excluded from their 0% DCTS rate, so it paid the 2% until CETA.
On cotton bed linen, every £1,000 of customs value carried £120 of duty before 15 July 2026, and carries none now if the claim is made correctly.
Who keeps that £120 depends on the Incoterm. Under DAP the UK buyer pays the duty, so the 0% lowers their landed cost and is worth raising when you quote. Under DDP you pay UK duty yourself, so the saving is yours, and so is the cost of any duty paid because a claim was missed.
How much did T-shirts, footwear, ceramics and food save after DCTS?
All now 0% under CETA. These chapters were not graduated, so India was already paying the DCTS rate, and the real gain is the DCTS column, not the standard rate. Some of those gains are still large: 14.5 points on other prepared fruit, 11.9 on sports shoes and 11.2 on vegetables in vinegar. From 15 July 2028, when India leaves DCTS, a CETA claim on these lines will be worth the full standard rate.
| UK code | Product | Standard rate | Paid before CETA (DCTS) |
|---|---|---|---|
| 6109100010 | Cotton T-shirts, knitted | 12% | 9.6% |
| 6404110000 | Sports footwear with textile uppers | 16% | 11.9% |
| 6911100090 | Porcelain tableware | 12% | 8.4% |
| 6912002510 | Earthenware tableware and kitchenware | 8% | 4.5% |
| 6913909810 | Hand-made ceramic ornaments, not porcelain, common pottery or earthenware | 6% | 2.5% |
| 1905319100 | Sandwich biscuits | 8% | 4.5% |
| 2001909799 | Other vegetables or fruit in vinegar | 16% | 11.2% |
| 2008999990 | Other prepared fruit and plant parts | 18% | 14.5% |
Women's knitted cotton dresses (6104420000) match T-shirts: 12% standard, 9.6% paid, now 0%. Men's strap-vamp shoes with leather uppers and rubber or plastic soles (6403993600) went from 4.5% to 0%. Instant coffee (2101110000) went from 3.1%. Other sauces and condiments (2103909089) and aluminium kitchen articles (7615108090) went from 2.5%.
For terracotta, classification decides the answer. HMRC says true terracotta can usually be identified as earthenware, while common pottery is porous with large, clearly visible impurities. Earthenware tableware (6912002510) gained 4.5 points, and hand-made earthenware ornaments (6913909310) gained 2.5. Hand-made common-pottery tableware (6912002111) gained nothing, because India already paid 0% under DCTS.
Which Indian products have gained nothing from the trade deal so far?
Two groups have seen no change in duty so far. The first group is now 0% under CETA too, but its standard rate is above 0% and India already paid 0% under DCTS, because these chapters were not graduated:
| UK code | Product | Standard rate | Paid before CETA (DCTS) |
|---|---|---|---|
| 9503007000 | Toys put up in sets or outfits | 4% | 0% |
| 6403919800 | Women's ankle-covering leather-upper footwear, rubber or plastic soles | 4% | 0% |
| 6912002111 | Hand-made common-pottery tableware | 4% | 0% |
| 3307410000 | Agarbatti | 6% | 0% |
| 4420111010 | Hand-made ornaments of specified tropical woods | 2% | 0% |
| 8516710000 | Electric coffee or tea makers | 2% | 0% |
| 8509400000 | Food grinders, mixers and juicers | 2% | 0% |
In the second group, the UK already charged 0% to every country, so CETA changed nothing:
- Fresh mango (0804500040), black tea (0902300000 and 0902400000) and turmeric (0910300000)
- Mango chutney (2001901000) and liquid mango chutney (2103901000)
- Handmade paper and paperboard (4802100000) and notebooks (4820103000)
- Copper cooking apparatus (7418101000) and hand-made copper household articles (7418109010)
- Brass and other base-metal statuettes and ornaments (8306290000)
- Stainless-steel household articles (7323930090) and knotted wool carpets (5701109000; with over 10% silk, 5701101010)
- Wooden statuettes and ornaments of other woods (4420190000) and wooden frames for pictures or mirrors (4414900000)
- Wooden furniture (9403609000), smartphones (8517130000) and LED lamps (8539520000)
Turmeric shows how 0% duty and easy entry differ: it is 0% for everyone, but India-specific high-risk food controls have applied on the tariff since 3 June 2026. On the second list, CETA gives you no duty edge, and your case to a UK buyer rests on product, price and reliability. On the first, it changes nothing until 14 July 2028, but India leaves DCTS on 15 July 2028. From that date only a CETA claim keeps these lines at 0%, so it is worth moving buyers onto CETA proofs of origin before then. The guide to what the UK-India trade deal makes cheaper explains the same point from the buyer's side.
Which Indian products are excluded from the India-UK FTA?
Category U lines have no CETA rate at all. On 30 October 2026, none of the excluded lines checked carried an India tariff preference on the UK Trade Tariff.
| Excluded line | Example UK code | Third-country duty |
|---|---|---|
| Milled rice, including milled basmati (1006.30) | 1006309992 | £121 per 1,000 kg |
| Cane or beet sugar (1701) | 1701999000 | £35 per 100 kg |
| Fresh hen eggs (0407.21) | 0407210000 | £25 per 100 kg |
| Selected pork, chicken, sausage and egg-product lines | Various in 0203, 0207, 0209, 0210, 0408, 1601 and 1602 | Mostly specific duties; some ad valorem, such as 16% on 1602901000 |
Milled basmati has a separate route. An India-only 0% non-preferential quota (order number 054117) sits outside CETA and needs an AGRIM import licence. Sugar has its own India-only 0% quota (order number 054321), which also needs an AGRIM licence. Husked (brown) rice is not excluded. Listed-variety husked basmati (1006209813, parboiled 1006201713) was already 0% with a certificate of authenticity. Other husked rice, such as 1006201718 and 1006209899, fell from £25 per 1,000 kg to 0% under CETA.
Duty-free is not the same as market access. Dairy in chapter 4, ghee included, is category A. Yet the Food Standards Agency and Food Standards Scotland advise that Indian-origin dairy, including composite foods containing dairy, is non-compliant and can be detained at the border. Do not plan a dairy line on the strength of the 0% rate.
Are the UK's cuts phased, and where does the 90% figure come from?
Several popular explainers mix up the two directions of the agreement:
- 'UK cuts are phased.' They are not, apart from the car quota. Phasing applies to India's tariffs on UK goods. The Department for Business and Trade's example is gearboxes (HS 8708.40) entering India: 16.5% before, 14.85% from 15 July 2026 and 0% in 2035.
- 'Tariffs fall on 90% of lines.' The 90% is India's side: CETA removes or reduces India's tariffs on 90% of its imports of UK goods. The UK's figure is 99%.
- 'Indian exporters must register with HMRC.' That applies to UK exporters sending goods to India, not to Indian goods entering the UK.
PIB also says MSMEs will save 4-16% in tariffs. On non-graduated chapters the real saving is the lower DCTS rate, and on several lines it is nothing.
How do I check whether my HS code gained from CETA?
Your 8-digit ITC(HS) code shares only its first 6 digits with the UK. The UK importer is responsible for the 10-digit classification, so agree it with the buyer before you rely on any rate. The guide to commodity codes for goods from India explains how classification works.
- 1
Start from your ITC(HS) code
Take the 8-digit code from your shipping bill or invoice.
- 2
Agree the UK 10-digit code
Ask the UK buyer or their customs agent to confirm it. If they are unsure, the importer can apply for an HMRC Advance Tariff Ruling before import. Replies take 30 to 120 days.
- 3
Open the live tariff page
Find the code on the UK Trade Tariff and select India as the country of origin.
- 4
Read the duty rows
Note the third-country duty and the tariff preference row for India. If a DCTS Standard Preferences row also shows, that is the rate India paid before CETA. If none shows, India paid the third-country rate: either no Standard rate exists, or India was excluded, which the all-countries view marks as 'excluding India'.
- 5
Work out the real gain
If no DCTS row shows with India selected, your gain is the third-country rate. Otherwise it is the DCTS rate, but on a chapter 73 line confirm that with your customs agent, as explained above.
- 6
Check the schedule category
Category A means 0% since 15 July 2026. Category U, such as milled rice or sugar, means no CETA rate.
- 7
Date your check
Record the date you read the page. HMRC issued commodity code structure updates on 20, 22 and 23 October 2026 alone.
What must be in place before the buyer can claim 0%?
The 0% applies only to goods that originate under CETA, backed by a valid claim. Article 3.2 gives three routes: wholly obtained, made only from UK or Indian materials, or meeting the Annex 3A rule for the code. The Annex 3A rules for the main gainers above are:
| Products | Annex 3A rule | In plain terms |
|---|---|---|
| Textiles, apparel and rugs (chapters 50 to 63) | CTH and Standard QVC | Change of heading plus the value test; no yarn- or fabric-forward rule |
| Leather goods (42) and chapter 20 preparations | CTH and Standard QVC | Change of heading plus the value test |
| Footwear (64) and biscuits (1905) | CTH | Every non-originating material changes at the 4-digit heading level |
| Ceramics and terracotta (69) | CC | Every non-originating material changes at the 2-digit chapter level |
| Natural honey (0409) | WO | Wholly obtained in India |
| Gold and silver jewellery (7113) | CTSH and a specific QVC | Change at the 6-digit level, plus a 3.5% QVC on plain pieces and higher on studded pieces |
| Instant coffee (2101) | CC, excluding chapter 4 materials | Change of chapter, with no non-originating chapter 4 materials |
| Aluminium kitchen articles (ex chapter 76) | CTSH and Standard QVC | Change at the 6-digit level plus the value test |
Standard QVC means at least 40% of the ex-works price or 45% of the FOB value under the build-down method, or 35% of either under the build-up method. Repacking, labelling, ironing, attaching accessories and simple painting never confer origin (Article 3.7). Goods bought in China and repacked in India are not Indian origin, and cumulation counts only UK and Indian materials. The full rules by category are in the guide to CETA product-specific rules.
Under Article 3.18, a consignment with a customs value of £1,000 or less needs no proof of origin, unless it is part of a series split to avoid the rules. The goods must still originate and be declared as originating. A proof is valid for 12 months. If the buyer paid duty on qualifying goods without claiming, it can make a late claim and seek a refund under Article 3.20. For the paperwork, see the CETA certificate of origin guide.
Britbasket, the Gurugram merchant exporter that publishes this guide, ships textiles, terracotta and natural honey to UK buyers. Producers in those categories can contact us.
Questions exporters ask
Is there an official HS code list for the India-UK FTA?
Not at 10-digit level. The UK's commitments are in Appendix 2A-b to Annex 2A, mostly set out by chapter or heading. In UK law the rates are set by HMRC's India Preferential Tariff (version 1.0, 13 January 2026), which also lists mostly chapters and headings and marks excluded lines 'MFN'. The live rate for each UK commodity code is the tariff preference row for India on its UK Trade Tariff page.
Is basmati rice duty-free under the India-UK FTA?
Partly. Milled basmati (1006.30) is excluded and pays £121 per 1,000 kg, unless it enters under the India-only 0% quota, which sits outside CETA and needs an AGRIM import licence. Husked (brown) rice is covered: listed-variety husked basmati was already 0%, and other husked rice, such as 1006201718, fell from £25 per 1,000 kg to 0%. India-specific food controls apply to all of these lines.
Do Indian exporters need to register with HMRC to use CETA?
No. HMRC registration applies to UK exporters sending goods to India. For UK imports from India, the importer claims with an origin declaration (document code 9001), a certificate of origin (N954) or importer's knowledge (U112). Indian exporters also do not email CBIC or obtain a URN for UK-bound goods.
Is zero duty automatic once CETA is in force?
No. The goods must originate under CETA, usually by meeting the Annex 3A rule for their code, and the UK importer must claim preference with a valid proof of origin, unless the customs value is £1,000 or less. A missed claim on qualifying goods can be made late, within one year of importation or longer under UK law, and the excess duty refunded.
Can my UK buyer still use DCTS instead of CETA?
Yes, until India leaves DCTS on 15 July 2028, but not in the 19 graduated chapters, where India's DCTS rate is suspended (chapter 73 needs checking, as the tariff no longer marks India as excluded there). DCTS and CETA proofs of origin are not interchangeable. Where India's DCTS rate was already 0%, as on toys in sets or agarbatti, CETA changes nothing until then. From 15 July 2028 only a CETA claim keeps those lines at 0%.
Does the India-UK FTA remove UK import VAT?
No. CETA changes customs duty only. Import VAT, at 20% on most goods and lower or zero on many foods, still applies and appears as a separate measure on each tariff page. Food safety, plant health and product safety rules are also unchanged.
Rahul
Director, BRITBASKET PRIVATE LIMITED
Britbasket exports from India to UK wholesale, retail and foodservice buyers, and has cleared shipments into the UK by air and by sea. Registered in India: CIN U47220HR2025PTC128831, GSTIN 06AANCB2770Q1Z2, IEC AANCB2770Q. About the company
Sources
- HMRC: UK Trade Tariff, cotton bed linen 6302310000 (read 30 October 2026)
- HMRC: UK Trade Tariff, hand-made wool shawls 6214200010 (read 30 October 2026)
- HMRC: UK Trade Tariff, cotton T-shirts 6109100010 (read 30 October 2026)
- HMRC: UK Trade Tariff, iron and steel articles 7326909890 with India selected (read 30 October 2026)
- HMRC: UK Trade Tariff, commodity pages for the other codes in this guide (read 30 October 2026)
- HMRC: UK Trade Tariff, husked basmati, other 1006201718 (read 30 October 2026)
- HMRC: UK Trade Tariff, listed-variety husked basmati 1006209813 (read 30 October 2026)
- HMRC: UK Trade Tariff, milled basmati 1006309992 (read 30 October 2026)
- HMRC: UK Trade Tariff, cane or beet sugar 1701999000 (read 30 October 2026)
- HMRC: UK Trade Tariff, dried sweet peppers 0904211000 (read 30 October 2026)
- HMRC: The India Preferential Tariff, version 1.0 (13 January 2026)
- UK Government: UK-India CETA Annex 2A, schedules of tariff commitments for goods (July 2025)
- UK Government: UK-India CETA Appendix 2A-b, tariff commitments of the United Kingdom (July 2025)
- UK Government: UK-India CETA Annex 3A, product-specific rules of origin (July 2025)
- UK Government: UK-India CETA Chapter 3, rules of origin (July 2025)
- GOV.UK: DCTS goods graduation from 1 January 2026 to 31 December 2028 (30 September 2025)
- GOV.UK: Country graduation from the Developing Countries Trading Scheme: India (4 September 2026)
- HMRC: Tariff stop press, India free trade agreement enters into force on 15 July 2026 (13 July 2026)
- GOV.UK: Historic UK-India free trade agreement is now in effect (17 July 2026)
- PIB: India-UK CETA comes into effect, backgrounder (15 July 2026)
- PIB: India-UK CETA backgrounder, PDF with sector line counts (15 July 2026)
- Business.gov.uk (DBT): Tariffs and customs for imports from and exports to India (accessed 30 October 2026)
- HMRC: Classifying ceramics for import and export (updated 22 April 2026)
- GOV.UK: Finding commodity codes for imports into or exports out of the UK (updated 22 August 2022)
- GOV.UK: Apply for an Advance Tariff Ruling (updated 2 June 2026)
- HMRC: UK Trade Tariff news, commodity code structure updates (read 30 October 2026)
- FSA and FSS: joint Section 42 advice on the UK-India FTA (October 2025), section 12.2 Dairy and eggs
Last reviewed 30 October 2026. Border, tariff and plant-health rules change. Check the sources above before relying on this guide for a specific consignment.
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