Syllabus: GS-III Subject: Economy Topic: Trade and External Sector, Issue: Trade and Economic Partnership Agreement (TEPA)
Context: : India and the European Free Trade Association (EFTA) signed a free trade agreement called TEPA.
Trade and Economic Partnership Agreement (TEPA)
- Includes tariff reduction, increase in market access, and simplification of customs procedures.
- Commitment by EFTA- an investment of $100 billion and one million jobs in India over 15 years.
- Also included a chapter on commitments to human rights and sustainable development.
| Prelims Connect (terms in News) Free Trade Agreement (FTA) is an agreement between two or more countries to lower trade barriers by ● Eliminating or reducing tariffs (taxes placed on imported goods) and quotas(limits on the amount of imports) ● Simplify customs procedures and regulations. |
Institutions in News:
European Free Trade Association (EFTA)
- A regional trade organisation and free trade area
- Composition: Iceland, Liechtenstein, Norway, and Switzerland .
- All countries are not part of the European Union.