FTA under-utilisation has long been a problem for Indian exporters. How can institutional reviews such as JETCO's annual utilisation data exchange address this?

An FTA helps only when exporters actually claim its lower tariffs. This is measured by the utilisation rate, the share of eligible exports that use the preference. The India–UK CETA entered into force on 15 July 2026 with zero duty on about 99% of tariff lines [2][3]. The 16th JETCO (New Delhi, October 2026) agreed an annual exchange of utilisation data [1]. This kind of institutional review can turn a market-access promise into real export gains.

Why Indian exporters under-utilise FTAs

• Rules-of-origin compliance: MSMEs often do not keep the records needed to prove where goods were made. Under self-certification through eCoO 2.0, that burden falls on the exporter [1].
• Non-tariff barriers: steel's zero tariff is limited by UK quotas (CSQ, residual quota) [3]. The planned UK CBAM from 2027 adds a carbon-compliance cost that tariff cuts do not remove [15].
• Information gaps: smaller firms often do not know about the preferences.

How institutional reviews address it

• Measurement, not optics: the data exchange tracks how often preferences are actually claimed, with a focus on MSMEs [1]. This matters more than day-one counts such as "50+ consignments" [1].
• Feedback loop: industry associations and export promotion councils pass business feedback upward, so problems are found and fixed early [1].
• Institutional machinery: CETA committees, working groups and government-to-government contact points for every chapter [1]. Officials run these, so they continue when ministers change.
• Political ownership: JETCO was repositioned in 2025 to oversee CETA implementation [6].

Utilisation data → Find the gap (sector/MSME) → Working group fix → JETCO review

Fig: Review cycle

Limits and way forward

• The first data exchange comes only one year after entry into force [1]. Until then, early under-use goes unmeasured.
• Ministerial meetings have been irregular: there was no JETCO between January 2022 and October 2026 [1].
• Steps: publish sector-wise utilisation rates; have export promotion councils train MSMEs in origin documentation; track how fast steel quotas fill; take up CBAM data acceptance at the 17th JETCO in 2027 [1].

Overall, regular data-driven review turns an FTA from a signed text into an instrument that is monitored and corrected over time. If JETCO keeps a steady rhythm and puts MSMEs at the centre, it can help reach the goal of doubling bilateral trade by 2030 [6]. It would also advance SDG 8 (decent work) and SDG 17 (partnerships).