India threatens to reverse Scotch duty cuts as UK steel curbs strain CETA

New Delhi may roll back the 150%-to-75% tariff cut on UK Scotch and gin agreed under CETA if Britain doesn't ease steel import quotas hitting $900M of Indian exports. Reversal would stall premium-spirits price relief expected to lift UK whisky retail volumes in India.

— Source publishedMon, 1 Jun, 2026, 21:30 IST·First seen Mon, 1 Jun, 2026, 21:37 IST·Source BL · Consumer & Economy

What happened

India-UK CETA · India may roll back FTA tariff concessions on UK Scotch whisky and gin (cut from 150% to 75%) if Britain doesn't ease new steel import quotas,

Key facts

  • 150% to 75% duty cut
  • 40% over 10 years
  • $900 million steel exports
  • 50% tariff
  • July 1 2026

Why this matters

Pressure-test India JV and distributor deal models against a 150% tariff scenario, and watch for distressed entry points if UK spirits exporters reset India guidance on a CETA setback.

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