New Delhi, Sep 21 (IANS) The FTA with New Zealand, which kicks in on October 20, also sets the stage to facilitate the flow of $20 billion in investment into India, and this will benefit Indian agriculture, manufacturing, infrastructure and startups, the Commerce and Industry Ministry said on Monday.
For India's rapidly growing services sector, the agreement creates a stronger platform for Indian companies and professionals to access the New Zealand market and expand their international footprint spanning roughly 118 sectors including IT, professional services, audio-visual, construction and tourism, with Most-Favoured Nation treatment locked in across about 139 sub-sectors, mobility opportunity through a dedicated quota of 5,000 Temporary Employment Entry visas for skilled Indians and 1,000 Working Holiday visas each year for young Indians, a ministry statement said.
The agreement also provides uncapped student mobility with post-study work rights of up to three years for STEM graduates and four years for doctoral scholars, it added.
India's pharmaceutical and medical device exporters gain a long-awaited edge as New Zealand begins accepting inspection approvals from globally trusted regulators such as the US FDA, EMA, UK MHRA, and Health Canada, cutting long waiting times and speeding up market entry.
With bilateral merchandise trade already at around $1.1 billion in 2025-26, the entry into force of the India-New Zealand FTA is set to give a decisive push to two-way trade, investment, and job creation in the years ahead.
At the same time, the government has safeguarded the interests of Indian farmers by keeping sensitive products such as dairy, animal meat (except sheep), key agricultural commodities, sugar, and edible oils excluded from tariff concessions. A calibrated market access has been structured for New Zealand’s apples, kiwifruit, and Manuka honey through Tariff Rate Quotas with minimum import price and seasonal import windows, alongside safeguards to protect domestic farmers, the statement said.
The Agreement establishes an Agriculture Productivity Partnership to strengthen cooperation in agriculture, with dedicated Action Plans for kiwifruit, apples, and honey aimed at improving productivity, quality and farmer incomes in India. Centres of Excellence will be established for orchard management, post-harvest practices, supply chains, food safety and sustainable beekeeping, facilitating the exchange of knowledge, technology and capacity. A Joint Agriculture Productivity Council will monitor that the market access is complemented by cooperation activities by New Zealand under Agriculture Productivity Partnership, the statement added.
--IANS
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