Investment and services major benefits for India

Agreement to cover 99.6% of India’s exports to the 4-nation bloc

- MUKESH JAGOTA

INDIA'S BILATERALFREE trade agreementwith the four-nation European Free Trade Association (EFTA) will come into force on Wednesday, where major gains forIndiawouldbe through investment commitments and service-sector access in return forpreferential access to its markets for goods.

The agreement with EFTA —which includes Switzerland, Iceland, Norway and Liechtenstein — was signed on March 10, 2024; it's officially called Trade and Economic Partnership Agreement (TEPA).

The biggest trade partner of India in the bloc, Switzerland, already has zero duties on industrial products so the additional concessions to India can be provided only in agriculture commodities and services.

“India stands to benefit most in sectors like pharmaceuticals, organic chemicals, food processing, engineering goods, IT services, and professional services,” senior advisor (trade policy), EY India, Anant Swarup, said.