India and New Zealand have finalised a comprehensive free trade agreement, granting duty-free access to all Indian exports entering New Zealand from October 2026, signalling a significant boost in bilateral economic relations and trade potential.
India and New Zealand have completed a free trade agreement that will give duty-free access to all Indian exports entering the New Zealand market from October 20, 2026. The deal, signed in New Delhi on April 27 after nine months of talks, is being presented by both sides as a step towards deeper economic ties and a broader push to expand trade in goods and services.
According to reporting from the Times of India, Commerce and Industry Minister Piyush Goyal said the agreement will remove tariffs on 100% of Indian exports to New Zealand. He described the launch date as coinciding with Dussehra, underscoring the political significance New Delhi is attaching to the pact. The agreement is also expected to support Indian labour-intensive industries, including textiles and apparel, leather and footwear, gems and jewellery, engineering goods and processed food.
The New Zealand government said the pact has now been ratified and is set to enter into force on October 20, with the country’s Ministry of Foreign Affairs and Trade noting that the deal is intended to improve bilateral trade relations. New Zealand Trade and Enterprise said bilateral trade in the year ended December 2025 was worth NZ$3.95 billion, offering a measure of the commercial base on which both governments hope to build.
The agreement gives New Zealand exporters access to 70.03% of Indian tariff lines, covering 95% of bilateral trade, while India has excluded 29.97% of tariff lines for sensitive products such as dairy, some farm goods, sugar and certain metals. Duties on 30% of tariff lines, including wood, wool, sheep meat and raw hides, will go immediately, while another 35.60% will be phased out over three to 10 years. The pact also includes commitments in 118 services sectors, mobility provisions for students and professionals, and annual visa quotas for 5,000 skilled Indian workers and 1,000 working holiday visitors. Both sides have said they want to lift trade in goods and services to Rs. 35,000 crore by 2030, while New Zealand has also committed to invest Rs. 1.89 lakh crore in India over 15 years.
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