India and New Zealand have sealed a landmark Free Trade Agreement. The move marks a major step towards strengthening economic ties and unlocking new avenues for growth, innovation, and employment. Described by both sides as ambitious and mutually beneficial, the deal aims to enhance market access, ease tariffs on most exports, and promote smoother investment flows between the two countries.
The agreement is expected to create wide-ranging opportunities across multiple sectors, including benefits for businesses, farmers, MSMEs, innovators, students, and youth.
India–New Zealand Trade Deal
By placing a strong emphasis on innovation and investment, the pact seeks to tap into India’s rapidly growing middle class. At the same time, it will allow New Zealand companies to expand their presence in one of the world’s fastest-growing markets. Negotiations for the FTA began during New Zealand Prime Minister Christopher Luxon’s visit to India in March 2025. The deal was finalised within a record nine months, reflecting strong political will and shared economic priorities.
Both nations have expressed confidence that bilateral trade could double over the next five years. New Zealand is also projected to invest nearly USD 20 billion in India over the next 15 years.
Beyond trade, both sides welcomed progress in defence, sports, education, and people-to-people ties. The announcement followed a telephone conversation between Prime Minister Narendra Modi and Prime Minister Luxon, who reaffirmed their commitment to deepening the overall partnership.
