Prime Minister Narendra Modi on Saturday described the recently concluded FTA between India and UK as 'historic,' and said the trade pact showed the world's trust in the country.

India has safeguarded sensitive sectors such as dairy and sugar in a free trade deal with the UK. This agreement aims to enhance exports of labour-intensive products and offers benefits to Indian professionals.

India's trade deal with Britain is a sign of New Delhi's new gradual shift to opening up its markets while shielding crucial sectors from competition and could be its template for future agreements, government officials and analysts said on Friday.