New Zealand Trade and Investment Minister Todd McClay on Friday, 10 July described the India-New Zealand Free Trade Agreement as one of the highest-quality trade deals negotiated by either country, saying it will significantly accelerate bilateral trade and deepen cooperation across sectors including technology, science, culture, and sport. McClay made the remarks in an interview from Auckland, days ahead of Prime Minister Narendra Modi's landmark visit to New Zealand.

What the FTA Unlocks

According to McClay, the agreement creates a framework of mutual trust that enables business communities on both sides to pursue long-term, sustainable partnerships. “It’s one of the highest-quality deals either country has negotiated. It allows for greater cooperation,” he said. “The two governments have said we trust each other, we’ve set in place rules, we’re going to honour them. That now enables the business communities to seek out high-quality partners and to build long-term sustainable relationships.”

The minister added that growth in ICT (Information and Communications Technology) cooperation is expected to be among the earliest and most visible benefits of the agreement.

Beyond Trade: Science, Sport, and People-to-People Ties

McClay emphasised that the FTA’s impact will extend well beyond goods and services. “You’ll see not only our two-way trade grow very quickly, you’ll see many other areas of cooperation—from science to people-to-people, to culture and sport—grow just as fast,” he said. This positions the agreement as a broad bilateral framework rather than a purely commercial instrument.

Modi’s Visit: First by an Indian PM in 40 Years

Prime Minister Modi’s upcoming visit to New Zealand is being described as historically significant—it will be the first visit by an Indian Prime Minister to the country in four decades. McClay noted that the visit comes just months after the FTA was signed, amplifying its diplomatic weight. “There is a very big celebration that will happen here in our largest city, and all New Zealanders are looking forward to welcoming Prime Minister Modi, particularly the Indian-New Zealand community,” he said.

The Indian community, one of the largest ethnic groups in New Zealand, is expected to turn out in significant numbers for the occasion, according to McClay.

UPI and Digital Infrastructure in Focus

On the question of whether India’s digital public infrastructure—including the Unified Payments Interface (UPI)—could find acceptance in New Zealand, McClay expressed optimism while noting regulatory considerations. “We’re a very open economy. Although you’ve got to fit with the rules we have in place, I don’t think that will be such a challenge,” he said. He added that the FTA itself creates greater certainty for digital integration, as New Zealand modernises its economy.

What Comes Next

With the FTA in place and a high-profile state visit imminent, both governments appear to be moving from agreement to implementation. Industry observers will watch whether the ICT and digital infrastructure commitments translate into concrete pilots—particularly around UPI’s cross-border utility—in the months ahead.