India, European Free Trade Association (EFTA) trade pact to come into force from October 1: Switzerland

India’s Free Trade Agreement (FTA) with the four-nation European Free Trade Association (EFTA) bloc comprising Switzerland, Norway, Iceland, and Liechtenstein will come into effect on October 1, 2025, marking the first time India has included legally binding provisions on trade and sustainable development in an FTA, according to Switzerland. Signed on March 10, 2024, the Trade and Economic Partnership Agreement (TEPA) is designed to deepen bilateral economic exchanges, improve market access, and enhance legal certainty.
Under the deal, EFTA members committed investments worth Rs. 8,80,700 crore (US$ 100 billion) over 15 years, Rs. 4,40,350 crore (US$ 50 billion) in the first decade, and another Rs. 4,40,350 crore (US$ 50 billion) in the following five years, facilitating the creation of one million direct jobs in India. India, in turn, will offer lower or zero duties on products such as Swiss watches, chocolates, cut and polished diamonds, pharmaceuticals, machinery, optical instruments, and processed agricultural goods. The agreement also upholds commitments under international treaties on trade, environment, labour, and human rights, ensuring that partner countries’ laws are not undermined.

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