Consulate General of India
Edinburgh
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India–Scotland Bilateral Relations

1. General Overview of Scotland’s Economy

Scotland’s economy, valued at approximately £160 billion (excluding oil), accounts for about 8% of the UK economy and has grown steadily at an average of 2% per annum. The services sector dominates, contributing nearly 75% of GDP, and includes financial services, IT, professional and business services, tourism, and retail. Other key contributors are production (18%), construction (6%), and agriculture, forestry, and fishing (1%).

India and Scotland enjoy deep-rooted, historically significant, and rapidly evolving relations. Bilateral trade is marked by steady exchange in machinery, beverages, textiles, and petroleum, with Scotch whisky emerging as a key export to India. Investments are increasingly diverse—spanning IT, life sciences, financial services, and renewable energy. Both sides are also advancing collaborations in research, green technology, and education.

2. Bilateral Trade Relations

Historical Context

India and Scotland share a historic trading relationship that dates back to the colonial era. Scottish trading houses such as Scott & Co., Alexander & Co., and Andrew Yule & Co. were heavily involved in trade and finance in India. Commodities like indigo, jute, opium, cotton, and salt formed the backbone of early commercial exchanges. Dundee’s jute mills, in particular, relied extensively on raw material from Bengal, and the Crimean War (1853–56) accelerated expansion of Scottish investments in India.

Current Trade Trends

Bilateral trade between India and Scotland has grown steadily in recent years, with a diversified export-import basket.

Table 1: India’s Goods Exports to Scotland (in million GBP)

Key Exports: beverages, power-generating machinery, metalliferous ores, non-ferrous metals, chemicals, pulp & paper, professional/scientific instruments, electrical machinery and appliances.

Table 2: India’s Goods Imports from Scotland (in million GBP)

Key Imports: power-generating equipment, apparel and textiles, petroleum and related products, transport equipment, whisky, manufactured metals, industrial machinery, fruits and vegetables.

Whisky Trade

India is now the largest importer of Scotch whisky by volume. Imports grew from 136 million bottles (2021) to 219 million bottles (2022), representing a 93% increase by value (£282 million). Despite this growth, Scotch whisky still accounts for only 2% of the total Indian whisky market, highlighting significant future potential. British beverage majors such as Diageo have expanded investments in India’s liquor sector.

Logistics & Connectivity

Scotland’s airports—Edinburgh, Glasgow, Inverness, Prestwick, and Aberdeen—handle most cargo and passenger traffic. Both the Indian diaspora and business stakeholders continue to press for direct air connectivity between India and Scotland.

3. Bilateral Investments

India is currently the 11th largest inward investor in Scotland. The number of Indian-owned companies in the UK rose from 900 in 2022 to 954 in 2023, many of which operate in Scotland.

Indian Investments in Scotland

• Tata Consultancy Services (TCS): Employs ~6000 professionals across Edinburgh and Glasgow. TCS generated £3.83 billion in UK revenue in 2023, with 12.5% attributed to Scotland.

• Infosys: Operating in Scotland for over 25 years, initially serving financial services. Today, it supports energy, manufacturing, and utilities sectors.

• Wipro, Usha Martin, Hinduja Global Solutions, Aegis, Tattva Group also maintain a strong presence.

• Biocon: Signed an MoU with the University of Glasgow (2018). Established the Mazumdar-Shaw Advanced Research Centre (ARC) with a $7.5M donation, creating a hub for biotechnology research and academic collaboration.

• Piramal Healthcare: Significant growth at Grangemouth site, with a £45M investment in a new oncology facility (opened Q1 2024), positioning it among the top three global ADC manufacturing organizations.

Scottish Investments in India

Several Scottish companies are active in India independently or through partnerships:

• Banking & Finance: Royal Bank of Scotland, Standard Life.

• Industry & Services: Weir Group, RMJM Architects, SgurrEnergy, Touch Bionics, Omega Diagnostics, Highland Spring, Aggreko, Peak Scientific.

• Oil & Gas: Wood Group, Clyde Pumps, Petrofac, PSN, SGS Waterweights, KBR, Selex Galileo (combined investments ~£70M).

• James Fisher & Sons (JFD): Supplied rescue vehicles to the India.

4. Trade Promotion and Institutional Collaboration

The Consulate General of India (CGI), Edinburgh actively facilitates India–Scotland trade and investment through industry forums, exhibitions, and bilateral dialogues.

Selected Activities (2019–2025)

• 2019: Regional India Business Forum with CII-UK.

• 2020: CBI International Trade Conference, Edinburgh.

• 2021: Indian Textile Exhibition (South Ayrshire); Namami Gange Event at COP26 (Glasgow).

• 2022: Tourism Promotion with Tamil Nadu Government; Sustainability Roundtable with cGanga.

• 2023: Silk Export Council Buyer-Seller Meet (Edinburgh); Ganga–Clyde Environment Partnership launch; Green Hydrogen Roundtable (Aberdeen).

• 2025: (March) India–Scotland Business Meet in Edinburgh; (April)Indian Whisky Tasting Event. 

CGI Edinburgh organised the India-Scotland Business Meet on 05th March, 2025 at City Chambers, Edinburgh in association with Federation of Indian Chambers of Commerce & Industry (FICCI) and Scottish Development International (SDI). More than 125 business delegates from India & Scotland  attended the event along with participation from Scottish Government officials. The inaugural session was followed by 04 round tables i.e. (1) Renewable Energy; (2) Life-Sciences; (3) IT, Research & Innovation & (4) Agro-beverage. An MoU was also singed b/w Scottish Lifesciences Association (SLA) & Association of Biotechnology Led Enterprise (ABLE) for greater collaboration in the life sciences sector.

CGI Edinburgh also maintains close ties with Edinburgh Chamber of Commerce, Scottish Chambers of Commerce, Scottish Development International (SDI), HMRC, Confederation of British Industry (CBI), Scotland and the Indian business community to advance commercial relations.

5. Recent Developments (2023–2025)

• Investments: Piramal Healthcare’s £45M oncology facility at Grangemouth commissioned in 2024.

• Research: Mazumdar-Shaw ARC at Glasgow University operational, strengthening Biotech and innovation collaboration.

• Cultural Diplomacy: Rising Indian participation at Edinburgh Fringe Festival—13 Indian acts (2023), 6 comedians (2024), 10 performers participated.

• High-level Visits: Lok Sabha Speaker Om Birla’s official visit to Scotland (Jan 2025); Justice B.R. Gavai’s lecture at Edinburgh Law School (2025).

• Cultural Heritage: Bronze bust of Rabindranath Tagore unveiled in Edinburgh (2025), symbolizing shared cultural ties.

India and United Kingdom in July, 2025 has signed India-UK Comprehensive Economic and Trade Agreement (CETA) which will enhance economic ties between the two nations. Provision of CETA will significantly reduce the tariff & non-tariff barriers. Scottish Exporters particularly from Food & Beverage sector such as Scotch Whisky & Gin, Chocolates/ shortbread, Salmon and meat stand to gain significantly. On the other hand, Indian Exporters dealing with textiles and apparel incl. Wool, leather & footwear, gems & jewellery, pharmaceuticals and Machinery & Electronics will benefit from duty-free access or reduced tariffs.

Looking ahead, direct air connectivity, increased Food & Beverage industry penetration, renewable energy partnerships, and deeper academic collaborations could significantly strengthen India–Scotland commercial relations.