Calculate Import Duty: India to UK

The UK-India Comprehensive Economic and Trade Agreement (CETA) is the most consequential trade deal the UK has signed since leaving the EU. It has been progressively reducing tariffs on India-origin goods since 1 January 2026, and by 2030 over 95 percent of all UK-India trade will move at zero duty. For now, the picture is mixed: many industrial lines are already at zero, textiles are mid-transition, and a handful of agricultural categories remain at full UKGT rates.

This guide walks through the calculation for an India to UK shipment in 2026, with a worked example, the FTA preference rules, and the VAT treatment. Run a real number on the calculator.

The duty layers for India to UK

A typical India to UK entry in 2026 has the following potential charges:

1. UKGT MFN rate for the eight-digit commodity code (the UK uses its own UK Global Tariff schedule, not the EU CN code).
2. UK-India FTA preferential rate instead of UKGT, where the goods qualify under the FTA rules of origin and you hold a valid origin declaration.
3. UK import VAT of 20 percent (or 5 / 0 percent reduced) on the customs value plus duty.
4. Anti-dumping or countervailing duty if your commodity code plus India combination is subject to a UK trade remedy order.

The UK does not stack a Section 122 or Section 301 equivalent. The 2026 reciprocal tariff is a US-only measure.

Claiming UK-India FTA preferences

To claim the preferential rate under the UK-India CETA, you need three things on file:

1. The goods must meet the product-specific rule of origin in CETA Annex 3. Most rules are based on a change in tariff classification (CTH = change of tariff heading at the four-digit level). Some rules require a regional value content threshold (typically 35 percent qualifying value) calculated either by the build-up or build-down method.
2. The Indian exporter must issue a statement on origin on the commercial invoice or a separate document. The text is set in CETA Annex 4. There is no certificate-of-origin form like EUR.1; CETA uses self-certification by the registered exporter (REX system in India, registered exporter in the UK).
3. The UK importer must claim the preference on the import declaration by entering preference code 200 (or equivalent CDS data element) and quoting the statement reference.

Self-certified origin can be audited. Keep the supplier's calculation worksheets, bill of materials, and supplier declarations on file for four years.

Staging schedule snapshot

A simplified view of where UK-India FTA tariffs stand in mid-2026:

The full staging is in CETA Appendix 1. The UK Trade Tariff online tool shows the current rate for your eight-digit code when you supply the preference code.

UK import VAT and CIF basis

Unlike the US, the UK uses a CIF-plus-duty value for VAT. The calculation is:

VAT base = CIF value + duty paid + customs handling charges
VAT due = VAT base x 20% (or 5% reduced or 0% zero-rated)

Postponed VAT accounting (PVA) is available to UK VAT-registered importers. Under PVA, no cash VAT is paid at the border; instead the import VAT is accounted for as both output and input tax on the next VAT return, which is cash-neutral if you are fully recoverable. Non-VAT-registered businesses must pay the import VAT in cash at the border.

Reduced and zero rates exist for specific categories: childrens clothing (HTS 6109/6203 for sizes below the threshold) is zero VAT, books and most food are zero VAT, energy-saving materials are 5 percent. Verify the VAT category for your goods, not just the duty.

Worked example: 90,000 GBP of leather handbags

You are importing 1,200 leather handbags from Kanpur, total invoice 90,000 GBP CIF London Gateway, including 4,500 GBP freight and 600 GBP insurance. HTS 4202.21 (handbags with outer surface of leather). UKGT MFN is 8 percent. Under UK-India CETA the staging in year 2 is 5 percent.

Without postponed VAT accounting, the 18,900 GBP VAT is a cash outlay at the border that you recover on the next VAT return. With PVA it is a paper entry only. Your effective duty rate on FOB value is 5 percent (4.4 percent on CIF), versus 8 percent if you did not claim the FTA preference.

Try it with your own values on the calculator.

UK customs procedures

Imports clear through the Customs Declaration Service (CDS) since the legacy CHIEF system was retired in 2024. Key documents:

• Commercial invoice with description, HS code at 8 digits, value, origin, terms (Incoterms 2020), currency.
• Packing list matching the invoice line items.
• Bill of lading or air waybill.
• Origin documentation: under UK-India CETA, a statement on origin on the invoice. For other preferences, EUR.1 or origin declarations.
• Import licenses or quotas for restricted goods (steel, certain agricultural products).
• UK EORI for the importer.

A UK customs broker typically charges between 50 and 250 GBP per entry. Many freight forwarders bundle brokerage with their forwarding fee.

High-risk classifications for India to UK

• Apparel (chapters 61, 62): staging schedule still in transition, FTA savings are real but partial.
• Footwear (chapter 64): staged from 8 percent to zero over three years.
• Cosmetics (chapter 33): zero MFN but UKCA marking and ingredient safety reporting required.
• Pharma APIs (chapter 29, 30): zero MFN but MHRA registration of the manufacturer required.
• Auto components (chapter 87): zero under FTA, big save versus the 8 to 10 percent MFN.
• Whisky (chapter 22): UKGT 75 percent, staged down to 40 percent over five years. Indian-origin only.

Anti-dumping orders on Indian goods to UK

The UK Trade Remedies Authority has inherited certain EU AD/CVD measures and has its own ongoing investigations. Active measures against Indian goods as of 2026 include:

• Hot rolled flat steel
• Cold rolled stainless steel
• Welded steel tubes and pipes
• Certain forged steel fittings

When your commodity code plus India combination triggers a UK AD/CVD order, the rate is producer-specific. Check the LandedFees AD/CVD tool for current rates.

How the calculator handles this lane

When you select Origin: India and Destination: United Kingdom in the calculator:

1. Pulls the UKGT MFN rate for the commodity code.
2. Applies the UK-India CETA staging if the code is in scope (current step of the schedule).
3. Computes UK import VAT on CIF plus duty.
4. Flags AD/CVD if applicable.
5. Highlights UKCA / MHRA / FSA regulatory hooks for the chapter.

Related guides

• Calculate Import Duty: India to USA
• Calculate Import Duty: India to UAE
• Calculate Import Duty: USA to UK
• What is Section 122? The 2026 Reciprocal Tariff Explained
• Incoterms 2020 vs Landed Cost: A Clear Guide
• How to Read a Commercial Invoice for Customs

Open the calculator with India to UK prefilled to run a number on your own goods.