New Delhi : The India-EFTA trade pact will officially become operational on October 1 under the Trade and Economic Partnership Agreement (TEPA) with the four-nation bloc comprising Switzerland, Norway, Iceland, and Liechtenstein.
Under the agreement, the European bloc has committed to investing $100 billion over 15 years, which will create one million direct jobs in India.
The government will host a formal event at Bharat Mandapam to mark the occasion. Commerce and Industry Minister Piyush Goyal and ministers from the EFTA nations will preside over the function, which senior officials and industry representatives will attend.
India and EFTA signed the Trade and Economic Partnership Agreement (TEPA) on March 10, 2024, but member countries required procedural approvals to implement the deal, which took time.
Under the agreement, EFTA offers 92.2 per cent of its tariff lines, covering 99.6 per cent of India’s exports to the region. EFTA’s market access offer covers 100 per cent of non-agricultural products and includes tariff concessions on some processed agricultural goods.
India offers 82.7 per cent of its tariff lines, covering 95.3 per cent of EFTA exports. However, India retains the effective duty on gold. The government has considered sensitivities in PLI sectors such as pharma, medical devices, and processed food while extending offers. Sectors such as dairy, soya, coal, and other sensitive agricultural products remain excluded.
The pact will reduce tariffs on specific EFTA goods for Indian consumers, including Swiss watches, whisky, and chocolates.
The agreement also provides mutual recognition of services, allowing professionals in fields like nursing, chartered accountancy, and architecture to work in EFTA countries.
It covers intellectual property rights, focusing on India’s concerns about patent safeguards, particularly the evergreening of pharma patents.
Additionally, the agreement includes a sustainability clause covering labour rights, environmental protection, and human rights.
Commerce Minister Piyush Goyal termed the Trade and Economic Partnership Agreement (TEPA) a “Trust and Efficiency Partnership”—a relationship built on mutual confidence and complementarity. He expressed optimism that the partnership will begin a new era of cooperation between India and the four EFTA nations, opening new avenues for trade, investment, and innovation.
–IANS
