India, Sept. 30 -- The Government of India has issued a release:
India-European Free Trade Association(EFTA) Trade and Economic Partnership Agreement (TEPA) will come into effect on 01 October 2025. The agreement was signed on 10th March 2024 at New Delhi.TEPA is a modern and ambitious agreement that incorporates, for the first time in any Free Trade Agreement (FTA) signed by India, a commitment linked to investment and job creation.
The agreement comprises of 14 chapters with main focus on market access related to goods, rules of origin, trade facilitation, trade remedies, sanitary and phytosanitary measures, technical barriers to trade, investment promotion, market access on services, intellectual property rights, trade and sustainable development and other legal and horizontal provisions.
The EFTA's market access offer under TEPA covers 100% of non-agri products and tariff concession on Processed Agricultural Products (PAP). Sensitivity related to PLI in sectors such as pharma, medical devices & processed food etc. have been taken while extending offers.
The agreement goes beyond goods and services and committed to promote investments with the aim to increase the stock of foreign direct investments by USD 100 billion in India in the next 15 years, and to facilitate the generation of 1 million direct employment in India, through such investments.
Key features of the agreement
EFTA is an important regional group, with several growing opportunities for enhancing international trade in goods and services. EFTA is one important economic block out of the three (other two - EU &UK) in Europe. Among EFTA countries, Switzerland is the largest trading partner of India followed by Norway.
The TEPA will empower India's exporters by providing access to specialized inputs and create conducive trade and investment environment. This would boost exports of Indian made goods as well as provide opportunities for services sector to access more markets.
Coffee
Tea
Strategic Edge: Leverage TEPA's IPR chapter to protect proprietary tech
Strategic Edge: Align with Norway's climate tech goals and public procurement Channels
Strategic Edge: Target niche distributors and public health initiatives
Strategic Edge: Position India as a reliable EMS partner for European OEMs.
INVESTMENT PROMOTION
Conclusion
The India-EFTA Trade and Economic Partnership Agreement (TEPA) marks a historic milestone, establishing India's first FTA with four developed European nations and committing USD 100 billion in investments and 1 million direct jobs over 15 years. TEPA enhances market access for goods and services, strengthens intellectual property rights, and fosters sustainable, inclusive development, while supporting Make in India and Atmanirbhar Bharat initiatives.
Complementing this, the India-EFTA Desk has been inaugurated as a single-window platform to facilitate EFTA investments in renewable energy, life sciences, engineering, and digital transformation, while fostering joint ventures, SME collaborations, and technology partnerships.
TEPA is a "model agreement" and reaffirms India's readiness to build a robust future with EFTA.
References:
Ministry of Commerce and Industry
Disclaimer: Curated by HT Syndication.
