Scotch whisky in spotlight as UK PM Keir Starmer begins India visit

London | British Prime Minister Keir Starmer begins a two-day visit to India on Wednesday with the Scotch whisky industry in the spotlight as a “big winner” of the India-UK Free Trade Agreement (FTA), which the UK government expects will grow the Scottish economy by 190 million pounds a year.

Downing Street said Scotch Whisky Association members and producers are part of Starmer's trade mission to explore first-hand a potential increase in whisky sales to India worth an estimated 1 billion pounds a year, creating more than 1,000 new UK jobs.

According to officials here, Starmer's first Indian visit as UK PM will include key meetings with senior Indian government ministers and businesses to deepen bilateral trade and diplomatic relationships that will benefit all parts of the United Kingdom.

“The historic trade deal the UK government struck with India this year is great news for Scotland and especially our whisky industry; but having secured the deal, our challenge and responsibility now is to put this deal into action,” said Douglas Alexander, UK Secretary of State for Scotland.

“Leading this trade mission, the Prime Minister will be beating the drum for Scotland's finest products. With the strength and support of the UK government, they can be world-reaching in terms of export markets,” said the minister.

Scotch whisky is among the products to see Indian import tariffs considerably slashed once the FTA, known as the India-UK Comprehensive Economic and Trade Agreement (CETA), completes its British Parliament ratification process next year.

“Delivering liberalised tariffs on all our exports to India will open up access to the world's largest whisky market in the years to come and give greater choice to Indian consumers,” said Mark Kent, Chief Executive at the Scotch Whisky Association.

“The deal is a good example of the government working closely with industry to provide long-term strategic opportunities, as we similarly hope to work with the government to help us weather the immediate strong headwinds facing the industry,” he said.

The UK government is keen to highlight that the benefits of the “landmark” CETA agreement reached during Prime Minister Narendra Modi's UK visit in July will boost economic growth across all parts of the country, boosting export opportunities for other iconic Scottish products such as shortbread and popular fizzy drink Irn Bru as well.

“This deal with India could be transformative for the industry over the long term. On this trade mission, we will be looking to take full advantage of the opportunities this crucial trade deal brings for Scotland,” added Douglas Alexander, who was Trade Minister when the FTA was finalised two months ago.

Business and Trade Secretary Peter Kyle and Investment Minister Lord Jason Stockwood are among the UK ministers joining Starmer's delegation to India, where the focus will be on the implementation of the CETA. The British government's analysis indicates the agreement will increase bilateral trade by 25.5 billion pounds, hike UK GDP by 4.8 billion pounds, and boost wages by 2.2 billion pounds every year in the long run.