Key Points

New Delhi [India], October 2 (ANI): Union Minister of Commerce & Industry, Piyush Goyal stated that the landmark Trade and Economic Partnership Agreement (TEPA) between India and the European Free Trade Association (EFTA) States - Iceland, Liechtenstein, Norway and Switzerland - brings capital, technology and jobs for India.

The agreement officially entered into force on 1 October, marking a significant milestone in trade and economic relations between the two sides.

The minister addressing the India-EFTA Prosperity Summit, said the agreement opens up new avenues for cooperation in investment, innovation, technology and people-to-people ties.

"TEPA is a landmark framework that goes beyond trade, strengthening investment, technology, innovation & people-to-people ties. It unlocks opportunities for EFTA partners in one of the world's fastest-growing markets, while bringing India access to capital, advanced tech & job opportunities," Goyal stated.

He added that TEPA is a landmark framework that goes beyond trade by strengthening overall economic relations.

The Ministry of Commerce and Industry, in an official statement, said that the entry into force of TEPA represents a concrete step towards building stronger bridges between India and the EFTA States.

It noted that the agreement would help expand total trade, deepen value-chain integration across goods, services and investment, and foster cooperation on standards and regulatory dialogue.

India, which is the fastest-growing large economy and is on course to become the world's third-largest economy, and the EFTA States, which rank among global leaders in both merchandise and services trade, together represent a combined GDP of about USD 5.4 trillion.

This provides the scale for deeper economic integration under the agreement.

The TEPA is expected to deliver long-lasting benefits, including resilient and better integrated supply chains, increased trade and investment flows, and new job opportunities.

It will also provide enhanced market access and streamline customs procedures, making it easier for Indian and EFTA businesses to expand operations.

The Ministry added that the agreement will promote investment opportunities, creating a supportive environment for businesses to innovate and prosper. Trade in goods between the parties has been steadily increasing, while trade in services has nearly doubled over the last decade.

Under TEPA, both sides will strive to substantially increase their two-way trade.

The India-EFTA TEPA was signed on 10 March 2024 in New Delhi. The commerce ministry also noted that this partnership aligns with the shared objective of building resilient global supply chains and strengthening links as trusted partners.

- ANI