Norway to strike off custom duties on over 98% of Indian imports: TEPA

A mere four days after New Delhi signed a $100 billion free trade agreement with the European Union, Norway announced on Sunday that it will waive customs charges on about 98% of India’s imports under the terms of the agreement.

The European Free Trade Association (EFTA), which is made up of Norway, Switzerland, Iceland, and Liechtenstein, and India inked an ambitious trade agreement with the goal of boosting trade in a number of sectors, including manufacturing, machinery, new technology, and medicines.

“Norwegian businesses that export to India today meet high tariff barriers of up to 40 per cent on certain goods. With this new agreement we have secured zero tariffs on almost all Norwegian exports to India,” he mentioned. “This is a breakthrough that can mean a lot for workplaces throughout Norway,” he added.

“We will eliminate all customs duties for almost 98 per cent of the imports from India including all important goods and services. For Indian companies, it will be a great opportunity,” he stated.

Once the signatories have finished the ratification process, the agreement will become official. “For our companies exporting to India, the customs duties today are between 5 to 40 per cent and 93 per cent of that customs duty will be under zero per cent in 10 years from now,” he added.

“It is a binding commitment to promote investment and the goal is USD 100 billion and one million jobs. It is up to the private companies and businesses,” he continued. “After 15 years we will sit down and find ways to ensure that it happens”.

“The four EFTA countries all together will mobilise private investments and the goal is to ensure USD 100 billion investment by the next two decades besides one ensuring million jobs”. Currently, about 130 Norwegian businesses are active in India, working in a variety of industries such as technology, construction, infrastructure, and renewable energy.

A key component of Norwegian foreign policy is respect for human rights. Thus, according to PM Gahr Stoere, it has been crucial for Norway to incorporate international environmental treaties and human rights within the deal. “The EFTA countries commit to promoting investments and the creation of more jobs in India. A designated office will be established in India to support Norwegian businesses in operating in the Indian market,” the note read.

Indian enterprises have a lot to contribute in this environment, from renewable energy and health technology to green mobility and fisheries, as it has been stated that the country will experience a significant green and digital shift. The deal opens up a lot of opportunities for investments and trade in a sector that is expanding quickly. Norwegian companies may support sustainable development in India by making investments, according to Vestre.