India-UK FTA Boosts Textile, Leather And Seafood Stocks; Mirza Int’l, Trident Surge Up To 17%
Last Updated:July 25, 2025, 14:43 IST
The India-UK FTA, which covers a broad range of sectors, is expected to significantly boost bilateral trade by an estimated $34 billion annually
The FTA has reduced tariffs on 99 percent of products to zero, including various marine products. (Representative/News18 Hindi)
India-UK FTA Deal: Even as the Indian stock market continued to bleed on Friday due to persistent selling by foreign institutional investors and a lacklustre Q1 earnings season, select stocks from the textiles, leather, footwear, and seafood sectors emerged as bright spots. These stocks defied the broader market weakness and rallied as much as 17%, buoyed by the optimism surrounding the recently signed India-UK Free Trade Agreement (FTA).
Leather and footwear stocks led the gains following the announcement that import duties on these goods into the UK would be slashed from 16% to zero under the FTA. Mirza International surged 17% to ₹38.52 on the BSE, even as the benchmark indices traded deep in the red. Other notable gainers included Superhouse, which soared 7.35%, AKI India with a 5% gain, and Zenith Exports, which rose nearly 3%. From the footwear segment, Metro Brands rallied 5%, while Bata India and Khadim India traded nearly flat despite the broader market sell-off.
Textile stocks also saw strong buying interest, boosted by the removal of UK import duties on Indian textile exports. Trident jumped nearly 7%, Filatex gained 6.5%, while Sanathan Textile and TCNS Clothing rose up to 3%. Welspun Living also gained around 2% in intraday trade.
Seafood exporters benefited from the elimination of tariffs on marine products. Apex Frozen Foods jumped 4% to ₹259.60 on the BSE. Jewellery exporters, too, saw mild gains with Goldiam International trading slightly higher, while Senco Gold initially gained before paring profits amid the overall market weakness.
The India-UK FTA, which covers a broad range of sectors, is expected to significantly boost bilateral trade by an estimated $34 billion annually. The agreement removes tariffs on 99% of Indian exports to the UK, covering key sectors such as textiles, leather goods, agricultural products, medical devices, and pharmaceuticals. It also reduces tariffs on various British imports to India, making the trade relationship more balanced and mutually beneficial.
Commenting on the development, Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said the FTA is India’s first comprehensive trade pact with a major developed nation and carries two major implications for the stock market. “First, it will significantly enhance trade volumes between India and the UK, which markets will see as a positive signal. Second, it reinforces India’s global image as a nation committed to free trade,” he noted.
Vijayakumar added that this deal comes at a time of rising protectionism globally and may improve India’s prospects in securing a fair trade agreement with the US.
Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More
Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More
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