India, ETFA to ink major trade deal on Sunday after 16 years of negotiations: Report

EFTA trade pact with India: After nearly 16 years of negotiations, India is poised to finalise an economic agreement with a consortium of four European nations on Sunday, news agency Reuters reported quoting two officials familiar with the matter. This marks a significant milestone in bolstering trade and investment relations between the two regions. The pact aims to stimulate economic growth and deepen commercial ties between India and the European Free Trade Association (EFTA).

The EFTA comprises Switzerland, Norway, Iceland, and Liechtenstein, and India anticipates substantial investment inflows totaling up to $100 billion over the next 15 years from these countries into its burgeoning market, which boasts a population of 1.4 billion. There is no official statement regarding the development yet.

Over the past two years, India has inked trade deals with Australia and the United Arab Emirates (UAE), with negotiations with Britain nearing a conclusion. These efforts align with Prime Minister Narendra Modi's ambitious target of achieving $1 trillion in exports by 2030.

Established in 1960 as an alternative to the European Union, the European Free Trade Association ranks as the world's 10th-largest goods trader and the fifth-largest in services. With a portfolio comprising approximately 30 trade agreements with 40 countries and territories outside the EU, the EFTA represents a formidable force in global trade.

The impending economic pact between India and the EFTA signals a mutually beneficial collaboration poised to unlock new avenues for economic growth and prosperity.

(With Reuters inputs.)