The India-UK trade agreement is set to enhance Mangaluru's export potential, particularly in cashew and seafood sectors, according to British Deputy High Commissioner.
New Delhi, India Jul 25, 2026 ALN: Mangaluru: Dakshina Kannada’s export-oriented economy is poised to benefit from the India-UK Comprehensive Economic and Trade Agreement (CETA), with products such as cashew nuts and seafood expected to gain improved access to British markets, British Deputy High Commissioner to Karnataka and South India Chandru Iyer said in Mangaluru on Thursday.
Addressing reporters, Iyer said the landmark trade agreement would create fresh opportunities for businesses across Karnataka, with Dakshina Kannada emerging as one of the regions well-positioned to expand exports to the United Kingdom. The significance of this agreement cannot be understated, as it represents a major step in strengthening economic ties between India and the UK, particularly in the context of post-Brexit trade dynamics.
The India-UK Comprehensive Economic and Trade Agreement is a crucial development in the landscape of international trade. Following the United Kingdom's exit from the European Union, the UK has been actively seeking to establish new trade partnerships globally. The CETA is seen as a vital component of this strategy, aiming to bolster economic relations with one of the world's fastest-growing economies, India.
Expressing optimism about the district’s prospects, Iyer said he would like to see Dakshina Kannada’s cashew products, shrimp, seafood, and even local ice cream brands becoming familiar names in the UK. The emphasis on local products highlights the potential for regional specialties to find new markets abroad, thereby not only boosting the local economy but also promoting cultural exchange through food. The food industry, in particular, plays a significant role in cultural representation, and the introduction of local delicacies to international markets can enhance the visibility of Dakshina Kannada’s rich culinary heritage.
In addition to cashew nuts and seafood, the agreement is expected to open new avenues for several of Karnataka’s iconic products. Traditional products such as Mysuru Sandal Soap, Chikmagaluru coffee, Byadgi chillies, Channapatna toys, and Mysuru silk are also expected to enjoy improved access to UK markets under the new trade framework. This diversification of products is crucial for ensuring that various sectors of the economy can benefit from the trade pact. By enabling a broader range of products to reach international consumers, the agreement can help stabilize local economies and provide a buffer against market fluctuations.
Iyer stated that Karnataka is likely to be among the biggest beneficiaries of the trade agreement because of the state’s diverse range of products and services. The emphasis on Karnataka's potential reflects the state's robust manufacturing and service sectors, which have evolved significantly over the last few decades. Karnataka has established itself as a hub for information technology, biotechnology, and manufacturing, making it an attractive destination for foreign investment. To ensure businesses make the most of these opportunities, the British Deputy High Commission, the Karnataka government, and the Directorate General of Foreign Trade (DGFT) will jointly conduct awareness programmes for farmers, entrepreneurs, and exporters. Such initiatives are essential for equipping local stakeholders with the knowledge and resources needed to navigate the complexities of international trade.
Highlighting the mission’s “Beyond Bengaluru” approach, he said efforts are underway to encourage British investment in regions outside the state capital and strengthen economic partnerships across Karnataka. This approach aims to decentralize economic growth and ensure that smaller cities like Mangaluru can also attract foreign direct investment, which has traditionally been concentrated in Bengaluru. By promoting investment in diverse regions, the government hopes to create a more balanced economic development model that benefits a wider population.
According to Iyer, Karnataka is already the third-largest destination for British investment in India, and the new trade agreement is expected to encourage more UK companies to establish or expand operations in the state. This influx of investment can lead to job creation, technology transfer, and overall economic development in the region. The potential for economic growth is substantial, especially in sectors like technology and manufacturing, where British companies can bring in expertise and innovation.
He also expressed hope that British universities would explore opportunities in Dakshina Kannada, noting the region’s long-standing reputation as an educational hub. The potential for collaboration in education is significant, as it can lead to joint research initiatives, student exchange programs, and the establishment of international campuses, further enhancing the educational landscape of the region. Such collaborations not only benefit students but also contribute to the local economy by attracting international students and fostering a culture of innovation and research.
Speaking about broader ties between the two countries, Iyer said people-to-people connections have strengthened significantly in recent years, supported by an increase in weekly flights between India and the UK. The rise in connectivity is a vital component of international relations, as it facilitates not only trade but also tourism and cultural exchange. Enhanced connectivity can lead to increased tourism, which is a significant contributor to the local economy, creating jobs and supporting local businesses.
He added that the UK remains a preferred destination for Indian students and that the Young Professionals Visa Scheme is being promoted to encourage greater exchange in education, employment, and tourism. This scheme is particularly important for young professionals seeking international experience and exposure, which can significantly enhance their career prospects. By facilitating easier movement between the two countries, the scheme aims to foster a more interconnected global workforce.
Responding to questions on global geopolitical uncertainties, Iyer said the India-UK partnership remains strong. He noted that the agreement is among the first between two major economies to include dedicated chapters on gender equality, sustainability, digital trade, and small and medium enterprises (SMEs). This progressive approach not only reflects the changing landscape of global trade but also underscores the commitment of both countries to address contemporary issues such as sustainability and inclusivity in trade practices. By incorporating these elements into the trade framework, both nations are signaling their dedication to responsible and equitable economic growth.
He added that bilateral trade currently stands at around 48 billion pounds and is projected to increase by a further 25 billion pounds in the long term under the new agreement. This increase in trade volume signifies the potential for both nations to enhance their economic cooperation and further solidify their strategic partnership. The anticipated growth in trade not only benefits businesses but also has broader implications for job creation and economic stability in both countries.
In conclusion, the India-UK Comprehensive Economic and Trade Agreement presents a significant opportunity for Mangaluru and the broader Karnataka region. By focusing on local products and fostering international partnerships, the region can leverage this agreement to boost its economy, enhance its global presence, and create a sustainable future for its businesses and communities. The implications of this trade pact extend beyond mere economic transactions, as it has the potential to foster cultural exchange, educational collaboration, and a deeper understanding between the peoples of India and the UK. As both nations navigate the complexities of the global economy, the CETA stands as a testament to their commitment to building a brighter, more interconnected future.
To learn more about the latest developments in Inflation & Prices, stay updated with our exclusive reports and analyses on AiLensNews.