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(11 Oct 2025, 16:23)

India–EFTA TEPA: $100B Investment & 1M Jobs Deal Strengthening Atmanirbhar Bharat and EU Trade Ties


India and EFTA signed the Trade and Economic Partnership Agreement (TEPA) on 10 March 2024 which took effect on 1 October 2025, marking India’s first FTA with four developed European nations - Switzerland, Norway, Iceland and Liechtenstein. It represents a strategic convergence between India’s Atmanirbhar Bharat vision and EFTA’s search for resilient, diversified partnerships.

TEPA commits to providing 100 billion USD in investments and 1 million direct jobs over 15 years, the first binding pledge of its kind in any Indian FTA. EFTA covers 92.2% of tariff lines (99.6% of India’s exports) while India covers 82.7% (95.3% of EFTA’s exports), protecting key sectors like dairy, soya coal and agriculture.

The agreement consists of 14 chapters, focusing on key areas such as market access for goods, rules of origin, trade facilitation, trade remedies, sanitary and phytosanitary measures, technical barriers to trade, investment promotion, services, intellectual property rights, trade and sustainable development, and other legal and horizontal provisions. With services contributing over 55% to India’s Gross Value Added (GVA), TEPA offers a platform for next-generation trade in knowledge and digital services.

India has made commitments in 105 sub-sectors while EFTA’s offers cover 128 from Switzerland, 114 from Norway, 110 from Iceland and 107 from Liechtenstein. This includes key Indian strengths such as IT and business services, education, media, cultural and professional services.

The India–EFTA Trade and Economic Partnership Agreement (TEPA) represents a historic milestone, establishing India’s first FTA with four developed European nations. It brings with it commitments of USD 100 billion in investments and the creation of 1 million direct jobs over the next 15 years. The agreement enhances market access for goods and services, strengthens intellectual property rights, and promotes sustainable and inclusive development, while advancing the objectives of Make in India and Atmanirbhar Bharat.

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