Secretary (West) Sibi George met Iceland’s Foreign Minister Þorgerður Katrín Gunnarsdóttir today to accelerate the Aurangabad Fisheries FDI project and strengthen India-EFTA TEPA implementation, marking a concrete milestone in bilateral trade cooperation.
The Ministry of External Affairs confirmed the discussions focused on trade facilitation, investment flows, and sector-specific partnerships in geothermal energy, fisheries processing, and clean technology. Both sides hailed progress since the India-EFTA Trade and Economic Partnership Agreement (TEPA) took effect on October 1, 2025, following its signing on March 10, 2024.
Aurangabad Fisheries Investment Delivers Results
Iceland’s $30 million FDI in Maharashtra’s Aurangabad has created 1,700 direct jobs, representing TEPA’s first major investment deliverable. This project exemplifies EFTA’s landmark commitment of $100 billion investments and 1 million jobs over 15 years, prioritizing India’s manufacturing and services sectors.
TEPA trade gains accelerate : Since implementation
- Bilateral trade up $30 million
- India eliminated tariffs on 99% of EFTA goods (precision instruments, watches, chocolates phased over 10 years)
- 85% Indian exports duty-free, boosting textiles, pharmaceuticals, and IT services
- EFTA Investment Desk (operational February 2025) streamlining FDI approvals
Complementary clean energy projects: Parallel geothermal cooperation targets India’s 10.6 GW untapped potential
- ONGC Puga Valley (Ladakh): 100 MW high-enthalpy pilot project
- Oil India Arunachal Pradesh hot springs exploration
- Rajasthan CCUS facility: 200 tonnes CO₂/day storage capacity
Strategic trade diplomacy context
Foreign Minister Gunnarsdóttir (in office since December 2024) positioned India as Europe’s key sustainable supply chain partner amid post-Ukraine realignment. The discussions aligned with WTO’s March 19 Global Trade Outlook urging “predictable trade policies” amid Middle East disruptions.
Secretary George’s Europe Portfolio oversees TEPA execution, emphasizing job localization mandates and technology transfer. India’s exports textiles, chemicals, engineering goods gain premium EFTA market access while importing world-class clean technology.
Economic multipliers for India
- Maharashtra employment: 1,700 jobs from single fisheries project
- Energy diversification: Geothermal reduces Himalayan fossil fuel imports
- Export revenues: Premium markets for pharmaceuticals, medical devices
- Investment pipeline: $100B target across manufacturing/services
India’s FTA-First Strategy shines through this meeting importing clean technology while securing domestic job creation and high-value market access. The Aurangabad project demonstrates how TEPA converts investment pledges into tangible employment outcomes.
As EFTA nations realign supply chains toward sustainability, India-Iceland emerges as a model for green trade partnerships. Secretary George’s economic diplomacy positions India to capture Europe’s clean tech investments while exporting labor-intensive manufactures perfectly balancing import substitution with export promotion.
This high-level engagement underscores India’s strategic pivot toward quality-over-quantity FTAs, delivering jobs, technology, and market access simultaneously amid global trade uncertainties.