MUMBAI: Indian premier Narendra Modi and British counterpart Keir Starmer have hailed their new trade deal as potentially transforming commercial links, as London unveiled fresh Indian investments described as a “launch pad” for deeper bilateral ties.
Starmer is in Mumbai on a two-day visit to India started today (on Wednesday), joined by more than 100 leaders from Britain’s business, cultural, and academic sectors, as he seeks to capitalise on the trade pact signed in July.
The deal includes tariff cuts on goods ranging from textiles to whisky and cars, while expanding market access for companies in the world’s fifth- and sixth-largest economies. It aims to boost trade by £25.5 billion ($34 billion) by 2040.
India has always supported the creation of a global framework for Ethical AI. pic.twitter.com/MqMbPGncAp
— Narendra Modi (@narendramodi) October 9, 2025
“This relationship matters more than ever,” Starmer told reporters before departing for London. “We’re opening up new opportunities in India for British businesses — opportunities that other countries simply do not have. It has given us a unique edge.”
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Earlier, Modi told a business forum he was confident the two nations could double their current $56 billion trade ahead of the 2030 target.
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Starmer’s visit, accompanied by Britain’s largest-ever business delegation to India, “reflects the new energy and broad vision” in the partnership, Modi said, speaking in Hindi after talks with the British premier.
“India’s dynamism and the UK’s expertise together create a unique synergy,” he added.
Starmer said the focus of his trip was to accelerate the potential of the trade deal, which is expected to take effect within a year.
Wonderful rendition of Ed Sheeran & Arijit Singh’s Sapphire, which is a great example of India-UK cultural partnership! pic.twitter.com/aLtx5WyiXT
— Narendra Modi (@narendramodi) October 9, 2025
“This is just the start,” he told a fintech conference. “It’s time to invest in the United Kingdom, invest in this relationship, and invest in our shared future.”
According to India’s foreign ministry, both sides agreed to establish a connectivity and innovation centre and a joint centre for artificial intelligence, while also launching a critical minerals industry guild to strengthen supply chains and promote green technologies.
INDIA, UK SIGN DEFENCE DEALS
Starmer’s office said 64 Indian companies will collectively invest £1.3 billion ($1.75 billion) in Britain, though details were not disclosed.
However, the two countries remain divided on some issues. After Modi publicly wished Russian President Vladimir Putin a happy birthday, Starmer quipped that he “would not be doing the same,” reaffirming Britain’s strong support for Ukraine.
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Asked whether he raised concerns about India’s purchase of Russian oil, Starmer said they discussed it and agreed on the need to end the Russia-Ukraine war, which he described as “the outcome we both want.”
Britain said it respects India’s strategic independence, noting that partnerships can thrive even when policy differences persist.
In a sign of deepening defence ties, Britain announced a £350 million ($468 million) contract to supply the Indian army with lightweight multi-role missiles made in Northern Ireland, along with the next phase of a £250 million deal to develop electric-powered engines for naval ships.
We are not only sharing technology with other nations but also helping them develop it. This is not Digital Aid, it is Digital Empowerment. pic.twitter.com/s236wRK0eR
— Narendra Modi (@narendramodi) October 9, 2025
India, long reliant on Russian defence supplies, has in recent years diversified purchases to include equipment from France, Israel, and the United States.
Britain also announced that two UK universities had received approval to open new campuses in India, calling it a way to expand educational influence “without adding pressure to domestic migration figures.”
Starmer’s government, meanwhile, has tightened rules for international students and clarified that more Indian visas were not part of the discussions.