The India-New Zealand Free Trade Agreement (FTA) will come into effect on October 20, 2026, on the occasion of Vijay Dashami, Commerce and Industry Minister Piyush Goyal said. Under the agreement, all Indian exports to New Zealand will become duty-free from the day the deal starts. This will help Indian businesses sell products such as textiles, clothes, leather goods, footwear, engineering products, medicines, farm products and processed food more easily in New Zealand.
At present, some Indian products, including ceramics, carpets, automobiles and auto parts, face tariffs of up to 10% in New Zealand and they will also get better access to the Indian market for products such as wood, wool, sheep meat and raw leather. However, India has protected its farmers and dairy sector. Products such as onions, chickpeas, peas, corn, almonds, artificial honey and sugar have been kept outside the agreement.
New Zealand has committed to facilitate $20 billion in investment in India over the next 15 years. India will also create special investment desks to help New Zealand investors.
The New Zealand agreement will create more opportunities in services, education, investment and professional and student mobility. India and New Zealand are also planning to work together in areas such as farming, medicines, medical devices, traditional medicine and technology.
Also Read – BRICS Business Leaders Boost Investments and Tech Ties
India and New Zealand signed the FTA on April 27, 2026, after completing 9 months of negotiations. Both countries hope the agreement will increase trade and create more opportunities for businesses and people.
