Indian suppliers to get non-discriminatory treatment in UK procurement mkts under FTA

Indian suppliers will receive non-discriminatory treatment in the UK procurement markets under the free trade agreement signed between the two countries on Thursday, a commerce ministry official said.

The official also said that India has preserved its policy space to provide preference to MSMEs under the Public Procurement Policy for Micro and Small Enterprises Order.

The government procurement (GP) chapter of the India-UK CETA (comprehensive economic and trade agreement) marks India's first successful negotiations of a comprehensive chapter with significant market access commitments.


The chapter provides a legal guarantee for Indian suppliers to be treated on par with UK suppliers regarding social value considerations within procurement processes, ensuring a level playing field for Indian businesses to compete fairly.

The official also said that India's market access commitments are limited to the Central Government Ministries/Departments, including their attached subordinate entities.

Additionally, central public sector units in competition with private entities are also outside the scope of India's market access commitments made to the UK.

It specifically excludes sub-central (state/local government) level procuring entities.

"Indian suppliers will have guaranteed access to the UK procurements being conducted at the central level of government and some at the utilities level," the ministry official said.

In 2022, these opportunities were worth about GBP 90 billion (or USD 120 billion) and included major central government entities procuring IT services, construction services, financial and insurance services.

Indian suppliers will be able to participate in procurements by major government departments such as the Cabinet Office, Department for Business and Trade, National Highways, NHS Foundation Trusts (Department of Health and Social Care), Foreign, Commonwealth and Development Office, Department for Education, among others.