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.

The UK and India plan to sign their long-awaited free trade agreement on Thursday, in a move which the British government said would add £4.8 billion ($6.5 billion) to the size of its economy.

The prime ministers of Britain and India have sealed a major trade agreement that will reduce tariffs on products like Scotch whisky and Indian spices.