Companies promised a £15.2bn business boost from the Far East

The deal agreed in principle with Japan could increase UK trade by £15.2 billion, deliver a £1.5bn boost to the economy and raise workers’ wages by £800 million in the long run, according to DTI.

The “historic” free trade agreement will benefit 574 Scottish firms which exported to Japan last year and help other businesses sell their goods to the Far East country for the first time, it said.

Food producers like Walkers Shortbread will benefit from lower tariffs, the DTI added.

Jim Walker, managing director of the Aberlourbased shortbread giant, said: “Japan remains one of Walkers’ most important markets and sales have grown steadily there since first launching in the country more than 40 years ago.

“This deal will help provide certainty and create more opportunities to continue building sales in a market where our products already enjoy success.”

Harris Tweed Hebrides already makes about 25% of its total revenue from exports to Japan.

Margaret Macleod, sales director with the Western Isles business, said the Asian country was a “key” destination, adding: “They look for high quality, authentic goods that British textile brands like us can offer.”

The DTI said the potential reduction of tariffs for salmon exports to Japan would help keep producers like the Edinburgh-based Scottish Salmon Company (SSC) competitive, while also supporting jobs.

SSC director Su Cox said: “Japan is a key growth market for our business and demand for our salmon has helped drive greater export sales to the region. Good trading relations are critical in supporting our export ambitions.”

Ms Cox added: “Continuation of the Protected Geographical Indication (PGI) status is very welcome news.

“PGI acts as a guarantee of the Scottish provenance that is so in demand in worldwide markets.”