New Zealand-India Free Trade: A Gateway to Growth

New Zealand and India have reached a free trade agreement to eliminate or reduce tariffs on 95% of New Zealand's exports to India, enhancing access to its growing middle class. The agreement also facilitates skill-based visas and is expected to be signed by 2026.

In a significant economic development, New Zealand and India have agreed on a free trade pact, announced on Monday. This agreement marks a strategic move to enhance New Zealand's export potential to a rapidly growing Indian economy projected to reach NZ$12 trillion by 2030.

The agreement, hailed by New Zealand Prime Minister Christopher Luxon as 'wide-ranging and significant,' aims to remove or reduce tariffs on 95% of New Zealand exports to India. More than half of these products will become duty-free immediately, improving access for New Zealand exporters to India's vibrant middle class.

However, the agreement faces opposition within New Zealand's parliamentary coalition. New Zealand First party leader Winston Peters expressed concern that the deal concedes too much, particularly on immigration, while not offering enough in return for sectors like dairy.