India-New Zealand FTA signed: $20 billion investment, 5,000 visas and duty-free access
India and New Zealand signed their historic Free Trade Agreement on Monday, April 27. The agreement was inked after teams from New Delhi and Wellington completed negotiations in December 2025.
The agreement covers 20 chapters, including trade in goods, remedies, dispute settlement, legal provisions, and more.
Following the signing of the FTA, Union Minister of Commerce and Industry Piyush Goyal stated that the deal between India and New Zealand was concluded in nine months, adding that the pace reflects “depth of trust and shared ambition between our nations.”
“Signing of this FTA marks another defining milestone in India’s engagement with the developed world and brings us closer to PM Modi’s vision of Viksit Bharat 2047,” adding that the FTA with Wellington is the seventh trade agreement the minister has signed in nearly four years.
Prime Minister Narendra Modi has also hailed the signing of the FTA, stating that the agreement will benefit Indian farmers, youth, women, MSME’s, artisans, startups, students and innovators. The FTA, Modi added, will “open new avenues for growth, create opportunities and deepen our synergy across sectors.”
New Zealand’s Prime Minister Christopher Luxon also stated that the FTA with India will open a new and “dynamic” market for the country.
“This deal will help diversify New Zealand’s export markets, support the goal of doubling the value of our exports over 10 years, and put New Zealand exporters on a more level playing field with competitors already enjoying preferential access in India,” Luxon wrote on X.
As per Agneshwar Sen, Trade Policy leader, EY India, the free trade agreement is expected to greatly benefit New Delhi.
“New Zealand’s offer to eliminate duties on 100% of its tariff lines on entry into force of the agreement, covering all 8,284 lines, means Indian goods in textiles, apparel, leather, pharmaceuticals, machinery, and auto components enter New Zealand duty-free, erasing an average applied tariff of 2.2%,” said Sen.
Sen also stated that the FTA will also open “mobility pathways for Indian professionals in IT, healthcare, engineering, and education” with the new work visa scheme for Indians.
“With merchandise exports to New Zealand already on an upward trend, this FTA provides the policy certainty and assured market access to sustain that momentum,” Sen added further.