Swiss State Secretary for Foreign Affairs, Alexandre Fasel, has said that his country is in the process of ratifying the Trade and Economic Partnership Agreement (TEPA) trade pact between India and the European Free Trade Association (EFTA) countries—Iceland, Liechtenstein, Norway, and Switzerland. Speaking to WION’s Sidhant Sibal in Delhi, the top Swiss diplomat said, “It is a very important agreement that has been signed. It is now in the process of ratification in Switzerland... we hope in the latter part of the year, or at the very latest, at the beginning of next year that this treaty can enter into force.”

Advertisment

Also read | Trump 'okay' with Putin's demand to keep Ukraine out of NATO

The pact aims to reduce tariffs, boost trade, and promote investments between the regions. Under the pact, EFTA countries have committed to invest $100 billion in India over 15 years, with $50 billion expected within the first 10 years and another $50 billion in the next 5 years. India is Switzerland’s fourth largest trading partner in Asia and the largest in South Asia.

When asked about India’s role in supporting peace when it comes to the Russia-Ukraine war, the Swiss diplomat said, “India is a very important player geopolitically, as Prime Minister Modi said, India has the ambition to resonate the voice of the global south in many different questions geopolitically, and certainly in this one as well. And India has been involved in all the discussions and processes that have led to the first peace conference in Switzerland, so yes, India is much involved in all those conversations.”
Last year, Switzerland hosted the Peace Summit for Ukraine, which saw representations from 92 countries, including India. The main objective of the summit was to discuss elements of Ukraine’s 10-point peace formula, focusing on nuclear safety and food security.

Advertisment

Also read | India signs key pact with Panama for Quick Impact Projects

The Swiss State Secretary for Foreign Affairs, Alexandre Fasel, was in Delhi for foreign office consultations with his Indian counterpart, secretary west, Tanmay Lal. The talks focused on the situation in South Asia and Ukraine, multilateralism, Switzerland’s experience in the Security Council, and Switzerland’s work in the Human Rights Council.

Sidhant Sibal: What was your key focus during your India visit?
Alexandre Fasel: That was the annual political consultations we have amongst foreign ministries, and I came to meet my colleague, Secretary West, Tanmay Lal. And this was a very wide-ranging conversation. Traditionally, in that type of consultation, you discuss bilateral matters but also multilateral matters, global issues, and regional questions of a geopolitical and geostrategic order. So it was a very comprehensive, wide-ranging exchange, very fruitful and stimulating indeed.

Advertisment

Sidhant Sibal: How can Switzerland help India in terms of sustainability?
Alexandre Fasel: We are indeed focusing on sustainability in our activities here in India, together with the authorities, the private sector, and also the academic sector of India. We’re doing very different things, many different things. One is a public diplomacy programme we are launching, which we call sustainability with a plus, where we try to bring together the actors in the service of sustainability, it is indeed a challenge to keep the sustainability agenda on track and to capitalize on this shared sense of purpose we have amongst our two countries and the capabilities our actors, academic, political, and business from our two countries, can bring together to further the course of sustainability.

Sidhant Sibal: Any update on TEPA pact, especially on ratification. Switzerland removed MFN status for India, any details?
Alexandre Fasel: TEPA pact is a really big, quantum leap in our relationship. The Free Trade Agreement between India and the EFTA countries, that will condition our bilateral relationship for at least 15 years to come. There will be a huge influx of investment from those European countries, and certainly Switzerland, into India. There will be a very considerable job creation by Switzerland and the other European partners of EFTA in India. So it is a very important agreement that has been signed. It is now in the process of ratification in Switzerland. As you know, Switzerland’s parliament is a bicameral system. So in the first chamber, the agreement was already passed, and it should pass in the second chamber now in the spring session in March, then there is a delay to see whether we have a referendum in Switzerland, every international agreement, every law, is subject to a referendum. So we need to see whether there will be a referendum or not. And then we hope in the latter part of the year, or at the very latest, at the beginning of next year that this treaty can enter into force, which will then really be a new dawning in our already very close and fruitful relationship. And the question you refer to about the most favoured nation (MFN) clause has nothing to do with TEPA. So, this free trade treaty will develop and deploy its effect. And this question is a question of fiscality and is entirely unrelated to it. And it’s not a withdrawal of the most favoured nation clauses through Switzerland. It is Switzerland’s adapting to the Indian reading of what the most favourite nation clause in this particular context.

Sidhant Sibal: So when it comes to India and Switzerland, focus has been also on innovation, on startups and perhaps AI. How both countries are collaborating on these three areas, something that has been quite emerging. How Switzerland can help in these three areas.
Alexandre Fasel: We are partners in that domain as well. When it comes to science, to technology, emerging technology that are rooted in cutting-edge science, emerging science, then it is important that, as an international community, we come together, we capitalize on the capabilities our scientists and researchers have to make sense of what science and technology will allow us to do as an international community, and use those progresses in science and technology for the global commons and for a good and equitable development. And that is a domain we’re working closely on. I can name one example. We call it GESDA. That means Geneva, Science and Diplomacy Anticipated. This was created in Geneva to capture emerging science and accelerate the conversation of states, business, scientists, and civil society around those questions. They have an annual summit on a ministerial level, in which India participated through its chief scientific adviser of the ministry last October. So that is a concrete example of us coming together to do the right thing.

Sidhant Sibal: And where do you see India’s role in terms of the Ukraine situation? Do you see India playing some role now? Because it looks like the situation is towards its last leg. In terms of the war which is underway.
Alexandre Fasel: We will see whether it is the last leg, I fear it will be a very long process. So we certainly need all the energies and goodwill of all the nations who can contribute, and certainly of India. India is a very important player geopolitically, as Prime Minister Modi said, India has the ambition to resonate the voice of the global south in many different questions geopolitically, and certainly in this one as well. And India has been involved in all the discussions and processes that have led to the first peace conference in Switzerland, so yes, India is much involved in all those conversations.