New Delhi: The India–EFTA Trade and Economic Partnership Agreement is likely to generate between 1 million and 2 million new direct and indirect jobs in India by 2040 while boosting industrial competitiveness and attracting high‑quality investment, an industry chamber said on Friday.
As the India–EFTA Trade and Economic Partnership Agreement (TEPA) completed its first year, the statement from Associated Chambers of Commerce and Industry of India (ASSOCHAM) said the pact carries a commitment from EFTA to facilitate $100 billion of investment in India over 15 years, including $50 billion in the first decade.
“The commitment must be converted into real projects, manufacturing facilities, clean-energy ventures and employment opportunities. Advanced manufacturing and green hydrogen are expected to drive this next phase,” the statement noted.
The pact saw a confident beginning for India’s partnership with Switzerland, Norway, Iceland and Liechtenstein. It is steadily evolving from a trade agreement into a platform for investment, innovation and jobs.
“The next step is to translate TEPA’s ambition of $100 billion in investment and one million direct jobs into viable projects and employment opportunities,” said Nirmal K. Minda, President, ASSOCHAM.
“Advanced manufacturing and green hydrogen offer great potential, and MSMEs must be an integral part of these partnerships,” Minda added.
TEPA has opened wider market access for Indian exporters, the statement said, adding that EFTA has offered tariff concessions on 92.2 per cent of its tariff lines, covering 99.6 per cent of India’s exports.
The industry chamber forecasted sectors such as pharmaceuticals, textiles, engineering goods, chemicals, jewellery, processed foods and marine products to benefit from the momentum. Meanwhile, India’s commitments protect sensitive sectors including dairy, soya and coal.
Bilateral trade has reached $26.7 billion, creating a strong base for further expansion. EFTA’s annual imports of about $628 billion from the world present a major opportunity for Indian businesses.
“India’s 8.9 per cent share of its organic chemicals imports shows what is possible, and this can be replicated in pharmaceuticals, machinery, electrical equipment, automobiles, medical devices and textiles,” said Saurabh Sanyal, Secretary General, ASSOCHAM.
Maharashtra, Karnataka, Kerala and states in the North East can benefit from exports of agro-products, seafood, coffee and spices, while TEPA also offers opportunities for large industries as well as MSMEs, start-ups and farmers.
“Green hydrogen is an emerging area for cooperation. India’s target to produce at least five million tonnes annually by 2030 aligns well with Norway’s maritime technology, Iceland’s geothermal strength and Switzerland’s electrolyser expertise,” the statement noted.
Artificial intelligence, robotics and advanced manufacturing are also promising frontiers as India’s PLI schemes, Semicon India 2.0 and the IndiaAI Mission provide a strong foundation for collaboration with EFTA’s strengths in precision engineering and automation.
(IANS)
