India, European free trade group ink $100bn pact

According to authorities,’India and the four members of the European Free Trade Association (EFTA), which also includes Norway and Switzerland, inked a $100 billion free trade deal on Sunday to encourage exports and investment.

According to India’s Trade Minister Piyush Goyal, the agreement would see the European Free Trade Association (EFTA), which is composed of non-EU countries like Iceland and Liechtenstein, invest $100 billion over a 15-year period in India, the fifth-largest economy in the world.

Following the signing in New Delhi, Goyal stated, “The India-EFTA Trade and Economic Partnership Agreement (TEPA) marks a historic milestone in our growing partnership.” He continued, saying that via encouraging investment, growing exports, and generating jobs, the agreement “will pave the path for mutual growth and prosperity”.

After many rounds of discussions lasting sixteen years, the contract was reached.

A statement handed out during the signing event quoted Indian Prime Minister Narendra Modi as saying that the trade deal “symbolises our shared commitment to open, fair and equitable trade.”

The agreement “will allow us to make better use of our economic potential and create additional opportunities for both India and the EFTA states,” according to Swiss Economy Minister Guy Parmelin.

“EFTA nations get entry to a significant expanding market… Speaking in New Delhi, he continued, “India will draw more foreign investment from EFTA, which will ultimately translate into an increase in good jobs.”

The goal of EFTA’s establishment in 1960 was to advance economic integration and free trade among its members. It ranked eighth in terms of services traded and tenth in terms of products in the globe in 2021.

India has struck trade deals with the United Arab Emirates and Australia in recent years. There are also rumours that a long-discussed trade agreement with Britain is nearing completion.