ASSOCHAM says the agreement, entering into force on 20 October 2026, could expand opportunities for Indian exporters, smaller businesses and manufacturers while supporting a push to double bilateral trade by 2030.
ASSOCHAM has welcomed the India-New Zealand free-trade agreement as a significant step in India’s economic engagement with advanced economies, arguing that it could open new channels for exporters, manufacturers and smaller businesses. The industry body said the deal should be particularly helpful for micro, small and medium-sized enterprises, as well as artisans, farmers and women entrepreneurs, because it gives Indian goods broader access to the New Zealand market and strengthens links between the two economies.
According to the agreement’s entry into force on 20 October 2026, New Zealand is now reducing tariffs on 95% of its current exports to India, while India is moving to eliminate duties on a range of products immediately and phase out some tariffs over time. The pact also gives Indian goods duty-free access in New Zealand across 8,284 product lines, covering pharmaceuticals, textiles, machinery, engineering goods, gems and jewellery, footwear and leather, while offering quota-based concessions for products such as Manuka honey and kiwifruit.
ASSOCHAM president Nirmal K. Minda said in a statement that the deal’s success would depend on the opportunities it created and the impact it had on people in both countries. He pointed to the first export of a JCB machine from India to New Zealand, flagged off by Commerce and Industry Minister Piyush Goyal, as evidence of the growing reach of Indian manufacturing. The agreement also includes sector-specific action plans for kiwifruit, apples, honey, horticulture, forestry and livestock, with an emphasis on technology transfer, training and higher productivity.
The pact has a wider economic and labour dimension as well. It provides for professional mobility through 5,000 temporary employment visas and 1,000 working holiday visas each year, while industry groups say it could help integrate Indian companies more deeply into global value chains. Trade data cited by ASSOCHAM showed India’s exports to New Zealand at $711 million in FY2024-25 and $567 million in FY2025-26, with imports at $587 million and $589 million respectively, leaving India with a $124 million surplus before a small deficit in the following year. India and New Zealand have also set an ambition to double bilateral trade by 2030.
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