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India-EFTA trade deal kicks in: What it means for you

Business

India's new trade deal with the European Free Trade Association (EFTA) kicked in on October 1, 2025.
It's designed to cut tariffs on most goods, open up more trade in services, and attract investment—covering almost all exports between India and EFTA countries.

EFTA's $100B investment pledge

EFTA has pledged to invest $100 billion in India over the next 15 years, which could mean up to a million new jobs.
If EFTA doesn't follow through, India can pause some of the tariff benefits—so both sides have skin in the game.

Cheaper imports and easier access to EFTA markets for exporters

With TEPA, Indian exporters (think: machinery, textiles, chemicals) get easier entry into EFTA markets.
For folks at home, expect Swiss chocolates and wines to get a bit more affordable as tariffs drop.

Foreign investment limits in Indian banks raised

The deal also raises foreign investment limits in Indian banks from 51% to 74%.
This move is expected to attract more global investment and could enhance the competitiveness of India's financial sector.