Post India-UK FTA gains, SPS norms may become burden for Indian exporters
Soon after the India-UK Free Trade Agreement (FTA) was finalized, the ongoing sanitary and phytosanitary (SPS) negotiations between the European Union (EU) and the United Kingdom have come into focus. As a result, Indian exporters of agricultural products may face stricter compliance requirements, particularly with regard to Maximum Residue Levels (MRL), which could pose significant challenges for market access.
Earlier trends of exports from India to UK
UK once used to follow EU standard till Feb’20 after which it started following codex standards which are comparatively less stringent than EU norms.
India has exported 5.23 lakh tonnes of agricultual produce last year as compared to 4.58 lakh tonnes in 2019-20 . Out of which majority of the portion exported was of rice having value of $210.25 mn
In terms of value top 10 agricultural produce exported to UK include basmati rice, marine products, tea, fresh fruits and vegetables, processed items, spices, products made from cereals etc
Once the SPS agreement is finalized, no additional certifications will be required for trading a wide range of products — including animals, animal products, plants, and plant-based products — between the two countries. This is expected to streamline trade procedures and reduce regulatory hurdles for exporters on both sides.
