India-EFTA Trade Deal Begins: $100B Investment, 10L Jobs

The Trade and Economic Partnership Agreement (TEPA) between India and the European Free Trade Association (EFTA) officially came into effect on October 1. This landmark agreement is set to bring $100 billion in investments to India over the coming years and create an estimated 10 lakh (1 million) direct jobs.

EFTA is a regional trade organization comprising Switzerland, Norway, Iceland, and Liechtenstein. The deal is expected to significantly ease trade between India and these countries, boosting cooperation across sectors such as education, agriculture, technology, and industry.

India’s Commerce Minister, Piyush Goyal, highlighted that this is India’s first trade agreement with a clear investment commitment. He called the agreement a symbol of mutual trust and fairness and emphasized its timely launch during the auspicious festivals of Vijayadashami and Navami. “The population of EFTA countries may be smaller than Mumbai's, but their potential is immense,” said Goyal. He added that the agreement sends a strong message of economic stability and investor confidence, especially in times of global uncertainty.

He also pointed out India’s advantages, such as extremely low data costs just 3 percent of U.S. rates, and a large, growing market. Citing the longstanding presence of companies like ABB and Nestlé in India, Goyal noted that the high valuation of their Indian stocks shows global confidence in India’s economic future.

Goyal urged EFTA industries to invest in India, noting that the country offers a transparent and investor-friendly environment, with 100 percent FDI allowed in nearly all sectors. He concluded that the agreement reflects a shared commitment to sustainable development and promises a deeper strategic partnership in the years ahead.