India-EFTA TEPA Agreement a Major Opportunity for Indian Exports, 99.6% of Exports to Gain Broad Market Access: Commerce Secretary

Commerce Secretary Mr. Rajesh Agrawal spoke about promoting the utilization of opportunities available under the Trade and Economic Partnership Agreement (TEPA) with the European Free Trade Association (EFTA) during an outreach program for major exporters held in New Delhi. This program was part of the 'Second India-EFTA Prosperity Summit 2026' organized by the Department of Commerce. Notably, the TEPA agreement came into effect on October 1, 2025.

Mr. Agrawal stated that all four member countries of EFTA—Iceland, Liechtenstein, Norway, and Switzerland—have opened their markets to India. EFTA's commitments cover 92.2 percent of its tariff lines, which represents 99.6 percent of India's total exports, including full coverage of non-agricultural products. Meanwhile, India's commitments cover 82.7 percent of tariff lines, which accounts for 95.3 percent of EFTA exports.

The Commerce Secretary emphasized that this agreement is not limited to tariffs but provides predictability and stability for businesses. He urged Indian companies to partner with businesses in EFTA countries and develop joint value chains, from raw materials to finished products. He noted that EFTA countries are high-income markets that value quality, and succeeding there means being ready for any global market.

Discussing the agricultural sector, Mr. Agrawal said there are significant opportunities for agricultural exports in these high-consumption markets, as duties on many products have been reduced to zero. He mentioned that EFTA member countries import goods and services valued at more than half a trillion US dollars per year, representing a significant market for India. He urged export promotion councils, industry associations, and state governments to extend the benefits of this agreement to businesses across every part of the country and called for the preparation of a detailed action plan for the next five years.

A key feature of this agreement is its investment commitment. According to Article 7.1 of the agreement, EFTA member countries aim to increase Foreign Direct Investment (FDI) in India to 50 billion US dollars within 10 years of the agreement's implementation, and an additional 50 billion US dollars in the following five years. Furthermore, the goal is to create 1 million jobs in India within 15 years through this investment.