NZ–India timber deal in play
Reporting says New Zealand and India are close to a trade agreement that would eliminate about 95% of timber and lumber tariffs between the two countries (woodcentral.com.au). The item frames the deal as a major tariff cut specifically targeting timber and lumber categories (woodcentral.com.au).
New Zealand and India are moving toward an April 24 signing of a trade pact that would scrap or cut tariffs on most New Zealand wood exports. (mfat.govt.nz, economictimes.indiatimes.com) The two governments said they concluded negotiations on December 22, 2025, and New Zealand’s foreign affairs ministry lists the agreement as “concluded but not in force.” Indian officials have told local media the formal signing is likely on April 24 in New Delhi. (mfat.govt.nz, economictimes.indiatimes.com) For timber, the headline number is more than 95%: industry groups say the agreement eliminates tariffs on more than 95% of timber, lumber, pulp and paperboard exports to India. Indian reporting says wood is among the New Zealand export categories covered by the 95% tariff cut package. (wpma.org.nz, business-standard.com) Wood already matters in this trade relationship. New Zealand officials said wood and wood products were the country’s largest goods export to India, worth NZ$134 million in the year to June 2025. (beehive.govt.nz, business.scoop.co.nz) New Zealand’s forestry sector has spent months positioning India as a growth market for higher-value processed wood, not just raw logs. A 13-company trade mission visited India in November 2025, and Minister Todd McClay said the “real opportunity” was in processed timber tied to India’s urban growth and construction demand. (beehive.govt.nz) The agreement is broader than timber. India is set to get zero-duty access for all of its exports to New Zealand, while India would remove or reduce tariffs on about 95% of New Zealand exports, including wool, coal, wood, wine, avocados and blueberries. (economictimes.indiatimes.com, business-standard.com) The carveouts show where the politics are harder. India has said it is not offering duty concessions on dairy, onions, sugar, spices, edible oils or rubber, citing protection for domestic farmers and industry. (economictimes.indiatimes.com, business-standard.com) The next hurdle is not negotiation but ratification. Radio New Zealand reported on April 13 that exporters are pressing Parliament to pass the enabling legislation, after New Zealand First withheld support and Labour had not yet committed its votes. (rnz.co.nz, rnz.co.nz) That leaves the timber provisions in a familiar trade limbo: negotiated, promoted and not yet active. If Parliament clears the deal, New Zealand’s wood exporters would get the tariff cuts they have been lobbying for since the agreement was finished in December. (mfat.govt.nz, rnz.co.nz)
