India is setting its sights on a significant surge in investment from Switzerland, potentially reaching $100 billion, according to recent statements by Union Commerce and Industry Minister Piyush Goyal. This ambitious target encompasses diverse sectors, including space technology, precision engineering, food processing, pharmaceuticals, and agriculture, highlighting India's growing attractiveness as a global investment destination.

A Mutually Beneficial Partnership

Goyal, during his visit to Bern, Switzerland, emphasized the vast opportunities that India presents to Swiss businesses. He pointed to India's rapidly expanding economy, its youthful and skilled workforce, and the government's commitment to fostering a favorable investment climate. He encouraged Swiss companies to view India not just as a consumer market, but as a strategic hub for manufacturing, innovation, and integration into global value chains.

Echoing this sentiment, Helene Budliger Artieda, State Secretary for Economic Affairs, Switzerland, affirmed India's position as a preferred destination for Swiss industry, citing its democratic values, substantial consumer base, and robust economic growth. She expressed confidence in Swiss companies' ability to meet the $100 billion investment target and generate one million jobs in India as part of the India-EFTA (European Free Trade Association) trade agreement.

Key Sectors for Investment

Several sectors are poised to attract significant Swiss investment:

• Space: India's space sector is experiencing rapid growth, driven by private innovation and government support. Opportunities exist in satellite manufacturing, advanced propulsion systems, and space data analytics for applications in agriculture, urban planning, and disaster management. India aims to increase its global space market share to 10% by 2040, supported by 100% foreign direct investment in satellite systems manufacturing.
• Engineering: Switzerland's expertise in precision engineering aligns well with India's manufacturing ambitions. Goyal specifically mentioned high-precision engineering as an area with strong potential for investment and collaboration.
• Farming & Food Processing: Investment in food processing and technology can improve agricultural productivity, reduce waste, and enhance the value chain, contributing to food security and economic growth.
• Pharmaceuticals: India's pharmaceutical industry, already a global player, can benefit from Swiss technology and investment in research and development, drug manufacturing, and healthcare services.
• Renewable Energy: India is committed to increasing capacity and investments in the renewable energy sector, making it an attractive destination for Swiss companies with expertise in renewable energy technologies.
• Textiles: India's textile industry has the potential to grow significantly, and collaboration with Swiss companies can enhance product quality and increase exports.

The India-EFTA Trade and Economic Partnership Agreement (TEPA)

A key factor driving this potential investment boom is the recently signed TEPA between India and the EFTA countries (Switzerland, Norway, Iceland, and Liechtenstein). This agreement, the first of its kind between India and European countries, is expected to come into force in Autumn 2025. The Swiss component of the EFTA deal is expected to be implemented by October 2025.

The TEPA aims to reduce trade barriers, promote investment, and foster economic cooperation between India and the EFTA states. It includes provisions for intellectual property rights, trade facilitation, and dispute resolution, providing a stable and predictable framework for businesses.

Facilitating Investment

To further encourage Swiss investment, Goyal has proposed creating dedicated enclaves for Swiss businesses in India, offering tailored infrastructure, including Swiss-style restaurants, hotels, schools, and colleges. He also highlighted the role of the EFTA Desk at Invest India, which provides support and guidance to potential Swiss investors.

India is actively working towards regulatory harmonization and mutual recognition agreements to streamline business operations and reduce bureaucratic hurdles for Swiss companies. The government has also invested significantly in developing industrial parks and investment zones as part of its industrial corridor initiative.

With a strong foundation of bilateral relations, a comprehensive trade agreement, and a clear focus on attracting foreign investment, India is well-positioned to realize its goal of a $100 billion investment boom from Switzerland, fostering economic growth and creating new opportunities for both countries.