On Tuesday, Norway’s Parliament, the Storting, officially approved a landmark trade agreement with India, effectively eliminating tariffs on nearly all Norwegian exports to the Indian market. The agreement, which is considered one of the most significant trade deals in years, is expected to strengthen economic ties between the two nations and provide substantial benefits to key Norwegian industries, particularly seafood.
Norway seeks stronger trade relations with India
The approval of this trade pact comes amid global economic shifts, with Norway looking to diversify its trade partnerships and reduce reliance on China. Foreign Minister Espen Barth Eide highlighted India’s economic growth and increasing global influence, emphasizing that Norway must seize the opportunity to engage more actively with the world’s fifth-largest economy.
“In Europe, there is a lot of pessimism these days, understandably so, given the challenging times. But here in India, there is a great sense of optimism. There is a feeling of long-term growth, and that India is finally taking its natural place in the global economy,” said Eide.
Eide further added that strengthening ties with India is a strategic move for Norway.
Major boost for Norwegian seafood exports
One of the most notable aspects of the deal is the removal of tariffs on Norwegian seafood exports. Before the agreement, Norwegian salmon faced a 33% tariff in India, significantly limiting its market potential. With the new deal, tariffs on key seafood products such as salmon, mackerel, and herring will be progressively reduced to zero, creating a significant competitive advantage for Norwegian exporters in the fast-growing Indian market.
A step toward sustainable and inclusive trade
Beyond trade liberalization, the agreement incorporates commitments to sustainable development, environmental protection, and labor rights. India has pledged to adhere to the Paris Agreement, uphold International Labour Organization (ILO) standards, and promote gender equality. According to Norway’s Minister of Trade and Industry, Jan Christian Vestre, these provisions make the deal not just economically beneficial but also aligned with Norway’s values on climate action and human rights.
“This agreement elevates climate ambitions and ensures that labor and women’s rights are respected,” said Vestre.
Expanding opportunities in key sectors
In addition to seafood, the agreement is expected to foster cooperation in renewable energy, maritime industries, and technology. With India’s increasing focus on sustainability, Norwegian expertise in green technology and environmental solutions will be highly relevant in strengthening business collaborations.
Moreover, as part of the broader EFTA-India trade agreement, Norwegian companies can expect streamlined regulatory frameworks and enhanced market access.
Future trade and investment prospects
The removal of trade barriers is anticipated to drive increased investment flows between the two nations. Norwegian businesses will gain improved access to one of the world’s largest and fastest-growing markets, while Indian companies will also find new opportunities in Norway, particularly in industries such as textiles, agriculture, and services.
This trade agreement represents a strategic shift for Norway as it builds stronger ties beyond traditional Western partners. The deal is not just about economic benefits but also about positioning Norway as a globally engaged economy ready to leverage new opportunities in a rapidly changing world.
