India-European Free Trade Association Trade and Economic Partnership Agreement (TEPA)
Kartavya Desk Staff
Source: News on Air
Context: India–European Free Trade Association (EFTA) Trade and Economic Partnership Agreement (TEPA) will come into effect on 1st October 2025.
• It is India’s first FTA with four developed European nations, promising $100 bn investments and 1 million jobs in 15 years.
About India-European Free Trade Association Trade and Economic Partnership Agreement (TEPA):
What it is?
• A comprehensive Free Trade Agreement (FTA) between India and the European Free Trade Association (EFTA).
• First Indian FTA linking trade, investment, and job creation commitments.
Signed in:
• Signed on 10th March 2024 at New Delhi.
• To be operational from 1st October 2025.
Nations Involved (EFTA members): Switzerland, Norway, Iceland, Liechtenstein.
• Switzerland is India’s largest EFTA trade partner.
• Attract $100 bn FDI in 15 years and generate 1 million direct jobs.
• Expand market access for Indian goods and services.
• Promote sustainable development, skills, and technology transfer.
Key Features of TEPA:
• Investment & Employment: $100 bn FDI commitment from EFTA in 15 years. Creation of 1 million direct jobs in India’s manufacturing & services.
• $100 bn FDI commitment from EFTA in 15 years.
• Creation of 1 million direct jobs in India’s manufacturing & services.
• Market Access for Goods: EFTA offers zero-duty access on 92.2% tariff lines (99.6% of India’s exports).
• Services & Mobility: Commitments in 100+ sub-sectors (IT, education, audio-visual, business services). Mutual Recognition Agreements (MRAs) in nursing, architecture, chartered accountancy. Facilitates Mode 1 (digital delivery), Mode 3 (commercial presence), Mode 4 (personnel mobility).
• Commitments in 100+ sub-sectors (IT, education, audio-visual, business services).
• Mutual Recognition Agreements (MRAs) in nursing, architecture, chartered accountancy.
• Facilitates Mode 1 (digital delivery), Mode 3 (commercial presence), Mode 4 (personnel mobility).
• Intellectual Property Rights: TRIPS+ standard with safeguards for generic medicines. Prevents patent evergreening while protecting innovation.
• TRIPS+ standard with safeguards for generic medicines.
• Prevents patent evergreening while protecting innovation.
• Sustainable Development: Emphasis on green growth, social inclusion, environmental protection. Encourages technology collaboration in renewable energy, precision engineering, and health sciences.
• Emphasis on green growth, social inclusion, environmental protection.
• Encourages technology collaboration in renewable energy, precision engineering, and health sciences.