PYQ Relevance:[UPSC 2024] In a crucial domain like the public healthcare system, the Indian State should play a vital role to contain the adverse impact of marketisation of the system. Suggest some measures through which the State can enhance the reach of public health care at the grassroots level. Linkage: The article highlights how tariff-free entry of HFSS products leads to “lower prices” and “aggressive marketing,” posing “grave long-term health risks”. The question’s call for the Indian State to play a “vital role to contain the adverse impact” and suggest measures aligns perfectly in the article’s advocacy for “strong measures to regulate the advertising of HFSS” and “mandatory FOPNL” to protect public health. |
Mentor’s Comment: India and the United Kingdom signed a Free Trade Agreement (FTA) on July 24, 2025, during Prime Minister Narendra Modi’s visit to the UK. While the deal promises economic benefits, it has triggered serious public health concerns due to the likely surge of tariff-free imports of unhealthy, ultra-processed food products from the UK into India.
Today’s editorial analyses the recently signed Free Trade Agreement (FTA) between India and the United Kingdom. This topic is important for GS Paper II (International Relations) in the UPSC mains exam.
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Let’s learn!
Why in the News?
India and the United Kingdom recently signed a Free Trade Agreement (FTA) to boost bilateral trade, reduce tariffs, enhance market access, and strengthen economic and strategic ties between both nations.
What are the key provisions of the India–UK FTA?
- Tariff Reductions on Goods: Reduction or elimination of customs duties on products like textiles, leather, and machinery from India and premium liquor, automobiles, and pharma from the UK.
- Services Sector Access: Easier market access for Indian professionals (e.g., IT experts, nurses, yoga instructors) and UK financial, legal, and education services.
- Investment and Regulatory Cooperation: Investor protection clauses and liberalised FDI norms to encourage bilateral investments with predictable regulatory environments.
- Digital Trade and Intellectual Property Rights: Provisions for secure cross-border data flows, IPR enforcement, and e-commerce facilitation, supporting startups and tech trade.
- Labour Mobility and Social Security Coordination: Allows short-term professionals to avoid double social security payments, benefiting workers on temporary assignments.
Why has the FTA triggered health concerns in India?
- Stricter Intellectual Property (IP) Provisions: The UK is pushing for TRIPS-plus measures such as patent term extensions and data exclusivity, which could delay the entry of generic medicines in India. Eg: Cancer or HIV patients in India may face delayed access to affordable generics if extended patents block local production.
- Threat to Domestic Pharma Industry: Indian generic manufacturers fear reduced competitiveness due to stricter IP norms, which may raise medicine costs and affect public health schemes. Eg: India’s role as the “pharmacy of the Global South” may weaken, affecting exports to Africa and Latin America.
- Limited Access to Government Procurement: If the FTA includes government procurement commitments, it may restrict India’s ability to prioritise domestic firmsfor health supplies under public schemes. Eg: Public procurement for schemes like Jan Aushadhi may face restrictions, impacting affordable medicine distribution.
How does Mexico’s NAFTA experience inform India’s approach to FTAs?
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What are the regulatory differences between India and the UK on unhealthy food products?
Aspect | India | United Kingdom (UK) |
Front-of-Pack Labelling | Voluntary system; no mandatory warning labels for high fat/sugar/salt | Mandatory traffic light system highlighting fat, sugar, and salt levels |
Advertising to Children | Limited restrictions; junk food often advertised during kids’ content | Strict regulations on TV and online adstargeting children for junk food |
Nutritional Standards in Schools | No uniform enforcement across states; junk food in/near schools persists | Banned sale of sugary drinks and high-fat snacks in school premises |
Why is Front-of-Pack Nutrition Labelling (FOPNL) important post-FTA?
- Protects Public Health from Imported Junk Food: With the FTA, imports of ultra-processed and unhealthy foods may rise. FOPNL provides clear warnings (e.g., high in sugar, fat, salt) to help consumers make healthier choices. Eg: Chile introduced warning labels, leading to a drop in sugary drink sales by 25%.
- Empowers Consumers with Informed Choices: Indian consumers often lack nutritional awareness. FOPNL enables them to understand the health risks of packaged foods at a glance, regardless of foreign branding or marketing. Eg: In Brazil, FOPNL helped rural consumers avoid misleading “natural” claims on unhealthy imported snacks.
- Counters Aggressive Marketing by Foreign Brands: Post-FTA, multinational food companies may flood the Indian market with aggressive marketing. FOPNL acts as a visual deterrent, discouraging overconsumption, especially among children. Eg: In Mexico, FOPNL helped reduce the purchase of snacks targeted at children despite flashy packaging.
Way forward:
- Implement Mandatory Front-of-Pack Labelling (FOPNL): The Indian government should finalize and enforce strong, interpretive FOPNL regulations (like warning labels) based on WHO guidelines to help consumers easily identify foods high in salt, sugar, and fat.
- Strengthen Domestic Food Standards and Surveillance: Ensure alignment between imported and domestic food safety regulations, backed by robust monitoring by FSSAI. This will prevent imported unhealthy products from bypassing scrutiny and harming public health.
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