Could India and New Zealand Forge a Stronger Trade Partnership?
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Synopsis
India and New Zealand have embarked on a pivotal journey towards a Free Trade Agreement as they enter the fourth round of negotiations. This partnership aims to strengthen economic ties, enhance trade flows, and create sustainable growth opportunities for both nations. As they focus on key areas of trade, the stakes are high for their mutual prosperity.
Key Takeaways
- India and New Zealand are in the fourth round of FTA negotiations.
- The negotiations emphasize trade in goods, services, and Rules of Origin.
- Both nations aim for a balanced and mutually beneficial agreement.
- The FTA is expected to boost bilateral trade, investment, and supply chain resilience.
- India's trade with New Zealand has grown significantly in recent years.
New Delhi, Nov 3 (NationPress) India and New Zealand have commenced the fourth round of discussions for the Free Trade Agreement (FTA) in Auckland.
This round of trade negotiations, taking place from November 3 to November 7, signifies a vital step in enhancing a balanced, comprehensive, and mutually advantageous partnership between these two countries, as noted in a statement from the Commerce Ministry.
Key focal points of this round include trade in goods, trade in services, and Rules of Origin.
Both parties are collaborating effectively to build upon the progress made in previous rounds, aiming to resolve unresolved issues and expedite the conclusion of the FTA.
The ongoing negotiations reflect the mutual desire to strengthen economic links, as emphasized by Prime Minister Narendra Modi during the visit of Christopher Luxon, Prime Minister of New Zealand, in March 2025.
The FTA initiative was launched during a meeting between Commerce Minister Piyush Goyal and Todd McClay, the Minister for Trade and Investment of New Zealand, on March 16.
India and New Zealand reaffirmed their commitment to establishing a progressive and inclusive trade framework, which is essential for sustainable growth and shared prosperity for both nations.
Previously, the third round of negotiations for the India-New Zealand FTA was successfully finalized in Queenstown in September. These discussions reaffirmed both countries' dedication to fortifying economic relationships and working towards the swift conclusion of a balanced and mutually beneficial agreement, as stated by the Ministry of Commerce and Industry.
The third round, held from September 15-19, saw productive discussions across all sectors of the agreement. Several chapters were finalized, and substantial progress was made in other significant areas.
India's bilateral merchandise trade with New Zealand was valued at $1.3 billion in FY2024–25, marking an impressive growth of nearly 49 percent compared to the previous year. The anticipated FTA is expected to further enhance trade flows, foster investment connections, reinforce supply chain resilience, and establish a reliable framework for businesses in both countries.
Point of View
The ongoing negotiations between India and New Zealand signify a commitment to collaborative growth and mutual prosperity. This FTA aims to foster economic resilience and create a framework that benefits both nations. As we witness these discussions unfold, it's clear that both countries are dedicated to strengthening their economic ties in an increasingly interconnected world.
NationPress
05/11/2025
Frequently Asked Questions
What is the purpose of the India-New Zealand FTA?
The India-New Zealand FTA aims to enhance trade relations, promote investment, and create a sustainable economic framework that benefits both countries.
When did the fourth round of negotiations begin?
The fourth round of negotiations began on November 3, 2023.
What are the key areas the negotiations are focusing on?
The negotiations are focusing on trade in goods, trade in services, and Rules of Origin.
How has bilateral trade between India and New Zealand changed?
Bilateral merchandise trade between India and New Zealand reached $1.3 billion in FY2024–25, showing a growth of nearly 49% compared to the previous year.
Who initiated the FTA discussions?
The FTA discussions were initiated during a meeting between Commerce Minister Piyush Goyal and New Zealand's Trade Minister Todd McClay on March 16.
