New Delhi, Dec 23 (NationPress) The India-New Zealand Free Trade Agreement marks a pivotal moment in India’s trade diplomacy, unlocking new pathways for extensive economic collaboration, as stated by officials.

By achieving enhanced market access for Indian products, broadening opportunities in services and mobility, and strengthening partnerships in agriculture, investment, and emerging sectors, this Agreement generates significant and diverse benefits throughout the economy.

The FTA removes duties on 100% of Indian exports and includes a $20 billion investment initiative over 15 years to bolster long-term economic and strategic ties.

“Through the Agricultural Productivity Partnership, the FTA works alongside farmers to enhance productivity and connect them to global value chains. The FTA supports MSMEs and job creation by providing zero-duty access for labor-intensive sectors such as textiles, apparel, leather, footwear, gems & jewellery, engineering products, and processed foods,” the statement emphasized.

India has provided market access in 70.03% of tariff lines while retaining 29.97% in exclusion. Certain items are excluded, including dairy products (milk, cream, whey, yogurt, cheese, etc.), animal products (excluding sheep meat), various vegetable products (onions, chana, peas, corn, almonds, etc.), sugar, artificial honey, animal, vegetable, or microbial fats and oils, arms and ammunition, as well as gems and jewellery, copper articles (cathodes, cartridges, rods, bars, coils, etc.), and aluminum products (ingots, billets, wire bars), among others.

New Zealand’s market access offer entails the immediate elimination of duties (zero duty) on 100% of its tariff lines (8,284 tariff lines) from the “Entry into Force” (EIF).

New Zealand has maintained tariffs around 10% on approximately 450 lines of key Indian exports, covering products like textiles/apparel, leather and headgear, ceramics, carpets, automobiles, and auto components. Furthermore, the average applied tariff, which stands at 2.2% in 2025, will drop to zero from EIF.

New Zealand has committed to focused Action Plans for kiwifruit, apples, and honey to enhance productivity, quality, and sector capabilities for fruit growers in India. This collaboration includes the establishment of Centres of Excellence, improved planting materials, capacity building for growers, technical assistance for orchard management, post-harvest practices, supply chains, and food safety.

“The advantages of this Agreement are anticipated to be widespread, benefiting farmers, MSMEs, students, and skilled professionals alike. This reinforces India’s standing as a reliable, forward-thinking global partner and supports the vision of a globally integrated Viksit Bharat 2047,” the statement concluded.