Swiss Watches Set To Get Cheaper With India-EFTA Trade Agreement

The India-EFTA trade deal will gradually phase out 22% duties on Swiss watches over seven years, opening the floodgates for luxury timepieces in one of the fastest-growing markets

June 12, 2025

India is set to change the face of its luxury retail landscape significantly. Come September 2025, the country will begin slashing the 22% duties currently imposed on Swiss watch imports. This major shift will come with the enforcement of the long-negotiated India-EFTA trade agreement.

Earlier this week, India’s Minister of Commerce & Industry, Mr Piyush Goyal, confirmed that the agreement with the European Free Trade Association (EFTA)—comprising Switzerland, Norway, Iceland, and Liechtenstein—could be implemented as early as September. The duty reduction on Swiss watches will be staggered over a period of seven years, eventually bringing it down to zero.

The trade deal, signed in March 2024 after 16 years of negotiations, has now been ratified by all four European countries involved as of June 11. The final step is a public objection period in Switzerland, which ends on July 10.

ALSO READ: Introducing The New Seiko Limited-Edition Presage Line With Unglazed Arita Porcelain Dials

India, now the world’s fourth-largest economy, will offer enhanced market access to EFTA countries across a broad spectrum of sectors, including high-value luxury goods like watches. In exchange, the EFTA bloc has committed to invest $100 billion in India over the next 15 years, reinforcing the long-term strategic importance of the partnership.

For the Swiss watch industry, the timing couldn’t be better. With economic uncertainty and trade barriers dampening demand in key markets like the U.S. and China, India has emerged as a crucial growth market. According to data from the Federation of the Swiss Watch Industry (FH), exports to India surged by 25.2% in 2024, reaching CHF 274 million. The momentum has continued into 2025, with Q1 exports rising by 10.5% year-on-year.

Luxury retail analysts have identified India as a rising star in global watch consumption. The nation has seen an uptick in its high-net-worth population and now boasts the third-largest number of billionaires globally. This affluence is translating into stronger demand for high-end timepieces, prompting top Indian retailers to expand into Tier 2 and Tier 3 cities.

ALSO READ: TAG Heuer Marks Motorsport Comeback At Goodwood Festival Of Speed

The Swiss watch industry has welcomed the impending duty cuts, seeing it as a long-term win in a market with deep growth potential. With import costs decreasing gradually, the expectation is that premium and luxury timepieces will become more accessible to India’s aspirational consumers—particularly those exploring their first entry into the world of haute horology.

The move mirrors India’s broader trade strategy aimed at giving its luxury consumer base more access. Earlier this summer, the country signed a trade pact with the United Kingdom to ease import duties on British luxury cars and alcoholic beverages.

As India positions itself as a global luxury consumption hub, the reduction in watch duties marks more than a policy change—it signals a cultural shift in how luxury is consumed, displayed, and valued.

Recent Stories

  1. Louis Vuitton Sets Sail In Shanghai With ‘The Louis’
  2. Priyanka Chopra And Nick Jonas Serve Courtside Elegance At Wimbledon 2025
  3. Kalyani Saha Chawla: I was very fortunate to be part of the movement of luxury brands coming into India
  4. Deepika Padukone Becomes First Indian Actor To Receive A Star On Hollywood Walk Of Fame
  5. Ferrari Unveils Hypersail, A 100-Foot Clean-Energy Yacht Built To Fly
  6. What Labubus, Rhode Phone Cases And Louis Bear Have In Common: The Kidulting Phenomenon
  7. Intent Made: How Swetha Raju Is Redefining Luxury Furniture Through Indian Artistry
  8. Bottega Veneta Names Lorenzo Musetti As Brand Ambassador During Wimbledon 2025
  9. Vivo X Fold 5: The Foldable Market Just Got Interesting
  10. Nao Spirits And Diageo India Seal ₹130 Crore Deal in a First for Indian Craft Spirits
  11. Celebrities And Couture At Jeff Bezos And Lauren Sánchez’s Venetian Wedding
  12. Giddy Up, Glam: Inside Beyoncé’s Cowboy Couture Revolution On The Carter Tour
  13. Avani+Barbarons Seychelles Reopens With A Chic New Look
  14. Baale Resort In North Goa Is Rooted In ‘Quiet’ Luxury
  15. Paris Fashion Week Spring/Summer 2026: A Season Of Change, Culture, And Climate-Conscious Cool