The Trade and Economic Partnership Agreement (TEPA) between India and the European Free Trade Association (EFTA) — comprising Switzerland, Norway, Iceland, and Liechtenstein — entered into force on October 1, 2025. Signed in March 2024 after 16 years of negotiations, TEPA is notable for EFTA countries committing $100 billion in investments over 15 years and facilitating 1 million jobs in India. The agreement grants market access concessions on goods, services, and intellectual property, making it India's most significant FTA with a developed-economy bloc. It opens new avenues for Rajasthan's pharmaceutical, gems & jewellery, and textile industries.
India-EFTA Trade and Economic Partnership Agreement (TEPA) in Force from October 1, 2025
AQuick answer
The Trade and Economic Partnership Agreement (TEPA) between India and the European Free Trade Association (EFTA) — comprising Switzerland, Norway, Iceland, and Liechtenstein — entered into force on October 1, 2025. Signed in March 2024 after 16 years of negotiations, TEPA is notable for EFTA countries committing $100 billion in investments over 15 years and facilitating 1 million jobs in India. The agreement grants market access concessions on goods, services, and intellectual property, making it India's most significant FTA with a developed-economy bloc. It opens new avenues for Rajasthan's pharmaceutical, gems & jewellery, and textile industries.
Key facts
- India-EFTA TEPA entered into force on October 1, 2025 after 16 years of negotiations signed March 2024.
- EFTA countries committed $100 billion in investments over 15 years and 1 million jobs in India.
- The agreement is India's most significant FTA with a developed-economy bloc.
- Market access concessions cover goods, services and intellectual property.
- It opens new avenues for Rajasthan's pharmaceutical, gems-jewellery and textile industries.
- EFTA comprises Switzerland, Norway, Iceland and Liechtenstein.
6-axis classification
CoverageInternationalSubjectEconomicExamBasic Computer Instructor · CET Graduation · CET Senior Secondary · EO/RO · LDC · Mahila Supervisor · Patwar · PTI · RAS · REET · RPSC SI · School Lecturer · Senior Computer Instructor · Senior Teacher · UPSC · Vanpal · BothSourceDeloitte India Economic Outlook October 2025 / Business Standard / PIB
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Practice MCQ from this story
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Linked questionMedium
Under the India-EFTA TEPA, how much investment have EFTA countries committed to India over 15 years?
Explanation · Correct answer B
Under TEPA, EFTA countries (Switzerland, Norway, Iceland, and Liechtenstein) committed $100 billion in investments over 15 years, facilitating 1 million jobs in India.
Source: Deloitte India Economic Outlook October 2025 / Business Standard / PIB
Frequently asked questions
When did the India-EFTA TEPA enter into force, and how long were negotiations ongoing before it was signed?
The India-EFTA Trade and Economic Partnership Agreement (TEPA) entered into force on October 1, 2025. It was signed in March 2024 after 16 years of negotiations that began in 2008.
Which four countries form the European Free Trade Association (EFTA)?
EFTA comprises four countries: Switzerland, Norway, Iceland, and Liechtenstein — all developed European economies that are not members of the European Union.
What investment and employment commitments did EFTA countries make under TEPA?
EFTA countries committed to investing $100 billion in India over 15 years and facilitating the creation of 1 million (10 lakh) jobs in India — making it a landmark investment-linked trade deal.
Why is TEPA described as India's most significant FTA with a developed-economy bloc?
TEPA is significant because it is the first trade agreement between India and a bloc of developed economies that includes binding investment commitments, covers goods, services, and intellectual property, and links trade liberalisation with direct job creation targets.
How does India-EFTA TEPA benefit Rajasthan specifically?
TEPA opens new export opportunities for Rajasthan's pharmaceutical, gems-and-jewellery, and textile industries by granting preferential market access to EFTA markets, particularly Switzerland (pharmaceuticals, luxury goods) and Norway (marine products, energy).
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