New Delhi, India — April 27, 2026
India and New Zealand are set to sign a landmark Free Trade Agreement (FTA) later today, marking a significant step toward expanding bilateral economic ties. The proposed agreement is expected to double trade between the two nations to $5 billion over the next five years, according to official statements.
Once signed, nearly 70% of Indian exports to New Zealand are expected to receive duty-free access, which will likely make Indian goods more competitive in the Oceania market and boost export growth.
The agreement is scheduled to be formalized in the presence of Piyush Goyal and Todd McClay at Bharat Mandapam in New Delhi.
A Strategic Trade Partnership in the Making
Officials indicate that the deal will follow years of negotiations and high-level discussions between Narendra Modi and Christopher Luxon, which are understood to have played a key role in bringing the agreement to its final stage.
The FTA is expected to:
- Reduce or eliminate tariffs on a wide range of goods
- Simplify customs procedures
- Address non-tariff barriers
- Improve regulatory cooperation
These measures are likely to enhance ease of doing business between the two countries.
Expected Benefits for India
If implemented as planned, the agreement is expected to:
- Attract up to $20 billion in investment from New Zealand over 15 years
- Boost exports across manufacturing, services, and innovation sectors
- Provide new market access in the Oceania region
- Support exporters dealing with global trade uncertainties
Additionally, tariff reductions on certain imports like apples, kiwi fruit, and wine are expected under quota-based systems.
What New Zealand May Gain
New Zealand exporters are expected to benefit from improved access to the Indian market, with reduced tariffs on:
- Wool, coal, and sheep meat
- Wine, avocados, and blueberries
- Forestry and wood products
This could strengthen New Zealand’s trade footprint in India.
Sensitive Sectors Likely to Remain Protected
Indian officials have indicated that key sectors will remain excluded to safeguard domestic interests, including:
- Dairy products
- Selected agricultural commodities
- Strategic and sensitive goods
This approach is expected to ensure protection for farmers and MSMEs.
Agriculture & Technology Collaboration
The agreement is also expected to include cooperation in agriculture, where New Zealand may support India with:
- Advanced farming techniques
- Supply chain improvements
- Food safety standards
- Capacity-building initiatives
Work Visa Opportunities for Indians
Under the proposed terms, New Zealand is expected to offer up to 5,000 temporary work visas annually for Indian professionals across sectors such as IT, healthcare, engineering, education, and hospitality.
Boost for Pharma & Medical Exports
India’s pharmaceutical and medical device sectors are also expected to benefit, with New Zealand likely to recognize approvals from global regulatory bodies, reducing compliance hurdles and accelerating market entry.
Key Takeaways
- India and New Zealand set to sign FTA today
- 70% of Indian exports likely to get duty-free access
- Bilateral trade target set at $5 billion
- Potential $20 billion investment expected
- Work visa opportunities for Indian professionals
