The Federal Council places great hopes in this agreement. Almost 95% of Swiss exports to India will benefit from price reduction, Guy Parmelin said in the spring.
The free trade agreement between India and the member states of the AELE will come into force on October 1. The Confederation announced it on Monday.
The Minister of Economy Guy Parmelin had signed the free trade agreement with India on March 10, 2024 in New Delhi. Other members of the European Free Trade Association (AELE), Iceland, Liechtenstein and Norway also participate in this agreement.
The Federal Council places great hopes in this agreement. Almost 95% of Swiss exports to India will benefit from pricing relief, said Parmelin in the spring, when the National Council discussed this object. Many Swiss products – such as watches, machines or chemicals and pharmaceuticals – will benefit from better access to the Indian market.
In particular, the agreement must make it possible to facilitate investments. The Aele States have undertaken to carry out promotion activities, which constitutes a first according to the Federal Council. Their objective is to generate $ 100 billion in investments from the AELE States and to create a million jobs in the 15 years that will follow the entry into force of the text.
Negotiations between the Aele and India – the most people in the world – lasted more than 10 years. The Federal Parliament approved this agreement to a clear majority. The Rose-Vert camp was however skeptical.
The conclusion of a free trade agreement must contribute to sustainable trade, said national councilor Fabian Molina (PS/ZH) during the debates. However, the agreement with India does not meet this condition, according to the Zurichois. Indian clothing manufacturers using children’s work could, for example, enjoy it.
