NEW DELHI, Feb 3: A significant group of investors from the four European nations of the EFTA bloc and Israel will be visiting India next week to seek business opportunities, as announced by Commerce and Industry Minister Piyush Goyal.
The European Free Trade Association (EFTA) comprises Iceland, Liechtenstein, Norway, and Switzerland.
The arrival of over 100 investors from EFTA countries is particularly noteworthy, especially after they signed a Trade and Economic Partnership Agreement (TEPA) with India on March 10, 2024.
The agreement includes an investment commitment of USD 100 billion over 15 years from the EFTA nations, while also allowing several goods, like Swiss watches, chocolates, and cut and polished diamonds, to be imported at reduced or no duties.
This agreement is projected to take effect by the end of this year.
Goyal mentioned that EFTA representatives would be accompanied by over 100 investors, while more than 200 investors are anticipated from Israel. The three-day visit is set to commence on February 10.
“Major companies are participating. Individuals interested in technology and establishing manufacturing units will be present,” he added.
The EFTA bloc has pledged a total investment of USD 100 billion—USD 50 billion within the first ten years post-agreement and an additional USD 50 billion in the following five years—aiming to create 1 million direct jobs in India.
This marks a unique commitment in any trade agreement that India has signed to date.
It is important to note that EFTA countries are not members of the European Union (EU); rather, EFTA is an intergovernmental organization aimed at promoting and enhancing free trade. It was established as an alternative for countries that preferred not to join the European community.
In parallel, India is negotiating a comprehensive free trade agreement with the EU, which includes 27 nations.
Trade between India and EFTA reached approximately USD 24 billion in 2023-24, compared to USD 18.65 billion in 2022-23, with the trade balance favoring the EFTA bloc.
Switzerland stands out as the largest trading partner and investor in India among the EFTA countries, followed by Norway. From April 2000 to September 2024, India has attracted USD 10.72 billion in foreign direct investment from Switzerland.
Conversely, bilateral trade between India and Israel has declined to USD 6.53 billion in 2023-24, down from USD 10.77 billion in 2022-23. India received USD 326.75 million in foreign direct investment from Israel during the same period of April 2000 to September 2024. (PTI)
