Overview
- India and New Zealand signed the free trade agreement in New Delhi this week, with Commerce Minister Piyush Goyal and Trade Minister Todd McClay formalizing the pact.
- Once in force, 100% of Indian exports will enter New Zealand duty-free, while New Zealand says 57% of its exports to India will be tariff-free on day one with more cuts phased in.
- The deal creates new mobility routes that include 5,000 visas each year for Indian professionals, 1,000 work-and-holiday slots, and longer post‑study work rights for STEM graduates and PhD holders.
- New Zealand pledged $20 billion in investment in India over 15 years, and the agreement still requires approval by the New Zealand Parliament before the measures take effect.
- India protected sensitive farm sectors by excluding dairy, poultry, sugar, onions, and pulses, and experts say MSMEs will need stronger compliance and logistics to fully use the new market access.