India: tariff opening alone will not build a lasting watch market

In force since 1 October 2025, the trade partnership agreement between India and the EFTA states improves market access for 94.7% of existing Swiss exports excluding gold. Watchmaking is explicitly among the sectors covered. According to Swiss economic documentation, duties applied to watches, ranging from 10% to 20% depending on category, are to be phased out over seven years.

The market had already sent a positive signal: in the first half of 2025, Swiss watch exports to India rose 12.7%, according to the Federation of the Swiss Watch Industry. The tariff cut can amplify this trend, but it replaces neither the network, nor advice, nor after-sales service. A regulatory opening creates a possibility; only execution turns that possibility into a clientele.

Do not turn the tariff cut into a permanent discount

As duties fall, a house must decide how much supports the client price, the partner's margin, brand investment and service. Passing on the full cut immediately can boost volume but plant the idea that the product's value depends on a tax advantage. Absorbing it entirely into margin, conversely, risks leaving the agreement's promise invisible.

The right answer varies by segment. A multi-year pricing architecture should anticipate each tariff step, stay consistent with Dubai, Singapore and Europe, and limit cross-border arbitrage. Above all, it should fund the local capabilities that make growth sustainable: training, parts stock, diagnostic tools and the boutique experience.

Build the assortment from Indian usage patterns

India is not a homogeneous market. Mumbai, Delhi, Bengaluru and Hyderabad offer neither the same clienteles nor the same buying occasions. Weddings, gifting, entrepreneurial success, collecting and a first mechanical purchase produce distinct expectations. Copying the assortment of an Asian hub risks overstocking familiar references while ignoring local usage.

The launch should start from a limited number of doors and a close reading of unmet demand, trials, waiting lists and prices actually accepted. Advisors must be able to explain movement, upkeep and use value, not just brand status. Local data then becomes a tool for building the collection, not just a product report after the season.

Put service in place before accelerating sales

A growing installed base quickly creates needs for servicing, adjustment, water-resistance checks, repair and restoration. If every piece must travel abroad with no predictable timeline, the tariff advantage gained at purchase disappears in the ownership experience. The service network should therefore precede, or at least accompany, commercial expansion.

Not every intervention needs to be localised. A house can define three levels: quick diagnosis and operations in boutique, routine maintenance at a regional centre, complications and restoration in Switzerland. Announced turnaround times, visible tracking and a shared file give this architecture value. In India, the brand that wins will not be the most accessible one, but the one that stays present after the sale.

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