India-EU Trade Agreement Set For Implementation In 2025: Commerce Minister

ENA Sectors 2025-01-03 14:06:40 New Delhi Jan 3 (KNN) India's landmark trade agreement with the European Free Trade Association (EFTA) is on track for implementation by the end of 2025, according to Commerce and Industry Minister Piyush Goyal. The Trade and Economic Partnership Agreement (TEPA), signed on March 10, 2024, between India and the four EFTA nations Iceland, Liechtenstein, Norway, and Switzerland represents a significant milestone in international trade relations. The agreement has already gained substantial momentum in its ratification process, with the Swiss Council of States recently approving the pact. The next crucial step involves approval from Switzerland's National Council, reflecting what Minister Goyal describes as overwhelming support in political circles for the partnership. The minister indicated that the agreement is expected to enter into force by autumn 2025. A cornerstone of the agreement is EFTA's unprecedented USD 100 billion investment commitment to India, structured over a 15-year period. The investment will be delivered in two phases: USD 50 billion within the first decade of implementation, followed by an additional USD 50 billion in the subsequent five years. This investment is projected to create one million direct jobs in India, marking the first such commitment in India's trade agreement history. The agreement provides significant benefits for Indian consumers, who will gain access to premium Swiss products at reduced prices. Items such as watches, chocolates, biscuits, and clocks will see their customs duties gradually eliminated over a ten-year period. Notably, the agreement includes a safeguard mechanism allowing India to suspend duty concessions if the promised investments fail to materialise. The implementation timeline reflects the complex ratification processes required across different jurisdictions. While India's approval process involves Cabinet authorisation, EFTA member states must secure parliamentary approval. Meanwhile, Minister Goyal has maintained active engagement in trade negotiations with other partners, including recent discussions with the UK's new trade minister and the European Union's Trade Commissioner Maros Sefcovic. Minister Goyal emphasised India's commitment to protecting national interests in all trade negotiations, stating that agreements must be equitable, fair and balanced to receive India's approval. This stance underscores India's strategic approach to international trade partnerships while ensuring domestic interests remain protected. (KNN Bureau) 40497 https://knnindia.co.in/news/newsdetails/sectors/india-eu-trade-agreement-set-for-implementation-in-2025-commerce-minister 2025-01-03 14:06:40 knnindia.co.in India-EU Trade Agreement Set For Implementation In 2025: Commerce Minister