India Pushes for EFTA Agreement in Norway, Targets $100B Investments

India’s Commerce Secretary, Sunil Barthwal, visited Norway on November 22 (Friday), to accelerate the implementation of the Trade and Economic Partnership Agreement (TEPA) and promote a $100 billion investment target. 

The visit aimed to further the objectives of TEPA and unlock vast opportunities for Indian exports of goods and services in the European Free Trade Association (EFTA) countries, including Iceland, Liechtenstein, Norway, and Switzerland.

Signed in March 2024, the TEPA is a comprehensive agreement that offers India access to 99.6% of the EFTA market, with substantial tariff reductions on non-agricultural products and processed agricultural goods. In exchange, India has agreed to offer tariff concessions on 82.7% of its tariff lines, covering 95.3% of EFTA exports. The agreement includes commitments in key sectors from both parties, including 105 sub-sectors from India and 114 from Norway, according to the Commerce Ministry.

During his visit, Barthwal engaged in discussions with Tomas Norvoll, State Secretary of the Norwegian Ministry of Trade, Industry, and Fisheries, as well as other senior Norwegian officials. The primary focus was advancing trade relations, promoting Indian exports, and expediting the ratification of TEPA. Barthwal also met with Norwegian Parliament members to emphasize the potential benefits of the agreement for both countries.

The Commerce Secretary highlighted the vast opportunities for Norwegian industries in India, which is poised to become the world’s third-largest economy in the next 3-4 years. As India continues to grow, TEPA is expected to drive progress in sectors such as infrastructure, manufacturing, pharmaceuticals, chemicals, food processing, transport, banking, and financial services.

The pact is anticipated to stimulate India’s “Make in India” and “Atmanirbhar Bharat” initiatives, boosting domestic manufacturing and creating direct employment opportunities for India’s young, aspirational workforce.

In addition to economic growth, TEPA facilitates technology collaboration and provides access to cutting-edge innovations in precision engineering, health sciences, renewable energy, and research and development (R&D). The agreement is expected to play a pivotal role in enhancing India’s technological capabilities and fostering long-term economic prosperity for both nations.