India-New Zealand Trade Pact Heralds New Era of Economic Collaboration

The free trade agreement between India and New Zealand is set to enhance bilateral trade, providing duty-free access for diverse goods and committing USD 20 billion in FDI over 15 years. It aims to double trade within five years, favoring both nations' economies while protecting critical sectors.

The recent conclusion of talks between India and New Zealand on a free trade agreement is anticipated to foster growth in trade and investment, promising new opportunities for businesses in both countries. The agreement, announced on Monday, signifies a pivotal step towards greater economic integration with the Indo-Pacific region.

Providing duty-free access to numerous goods, the pact includes a foreign direct investment commitment of USD 20 billion over 15 years, with expectations of doubling the bilateral trade to USD 5 billion within five years. Industry leaders, including FICCI and PHDCCI, praised the agreement's potential to enhance economic resilience and cooperation.

Key provisions grant New Zealand duty-free access to goods like sheep meat and wool, while protecting India's domestic farmers by excluding concessions in the dairy sector. The services sector will benefit from a visa pathway for skilled Indian professionals. The deal follows the recent India-Australia trade pact, marking India's expanded presence in the Oceania region.

(With inputs from agencies.)