India and Switzerland agreed on Monday to expand market access for Indian exports as the TEPA trade deal turned one. Prime Minister Narendra Modi said, “This will help increase exports of Indian agricultural products, pharmaceuticals, textiles, and engineering goods.” Both nations also started a special group to address business constraints.
India and Switzerland on Monday agreed to expand market access for Indian exports and address trade and investment-related constraints faced by businesses as the two countries seek faster implementation of the Trade and Economic Partnership Agreement (TEPA) between India and the four-member European Free Trade Association (EFTA) bloc.
The decision followed talks between Prime Minister Narendra Modi and Swiss President Guy Parmelin, who is on a three-day state visit to India coinciding with the first anniversary of TEPA coming into force. The two sides also agreed to set up a special group to address trade and investment-related issues, with the full support of both governments and the other EFTA members, a senior Indian official said.
Special group
“Both sides are happy that there is progress in the implementation of TEPA,” MEA Secretary (West) Sibi George said at a media briefing. The special group, which has full support of the two governments (India and Switzerland), and all other member countries, would discuss trade and investment issues and address constraints faced by businesses, he said.
The Indian PM, in his statement during the joint press statement with his counterpart, said the two countries had taken several decisions to increase market access for Indian exports to Switzerland and facilitate investment. “This will help increase exports of Indian agricultural products, pharmaceuticals, textiles, and engineering goods to Switzerland. At the same time, we will attract new Swiss investments into key sectors in India, such as biotechnology, life sciences, banking, insurance, food processing, and sustainability,” Modi said.
New opportunities for co-operation in military exchanges and defence production were identified and the two leaders also agreed to further deepen cooperation in nuclear energy, Modi added.
The push for greater market access comes amid a decline in India’s exports to EFTA. Goods exports to the bloc fell 10.77 per cent to $1.75 billion in FY26, with the decline deepening after TEPA took effect on October 1, 2025. Exports fell 22.72 per cent to $461.64 million in April-June, the first quarter of FY27. Switzerland, by far India’s largest market within EFTA, saw a sharper decline.
Parmelin expressed hope that TEPA would significantly boost bilateral trade in the coming years and said interest among Swiss companies had been strong since its implementation. He said the agreement’s investment focus could create a win-win relationship by combining Switzerland’s specialised technologies and innovation capabilities with India’s scale and growing role in global value chains.
The visit will culminate in the India-EFTA Prosperity Summit on Wednesday, which Modi said would help turn the trade and investment partnership into concrete outcomes.
TEPA, India’s first free trade agreement with a European economic bloc, includes an EFTA commitment to invest $100 billion in India over 15 years and create one million direct jobs. Modi described it as an ambitious blueprint for investment, innovation and jobs.
Five pacts signed
The two countries signed five agreements, including pacts on migration and mobility, young professionals, and cooperation in transportation technologies, mobility systems and infrastructure development. The leaders also agreed to deepen defence cooperation, including military exchanges and defence production, as well as nuclear energy cooperation.
The migration pact seeks to facilitate mobility while addressing irregular migration and human trafficking. It provides multiple-entry visas of up to five years, stays of up to six months per visit and renewable one-year student permits. The young professionals pact will allow 300 people annually from each country, expandable to 500, to take up temporary employment.