India signs New Zealand FTA

India and New Zealand signed a free trade agreement in New Delhi on April 27, with Piyush Goyal and Todd McClay leading the ceremony. (moneycontrol.com) (beehive.govt.nz) The deal gives Indian exporters zero-duty access on 100% of goods sold into New Zealand once it enters into force. India, in turn, will liberalize tariffs on about 70% of tariff lines, covering 95% of current bilateral trade with New Zealand. (commerce.gov.in 1) (commerce.gov.in 2) For New Zealand, more than half of current exports to India will become duty-free on day one, rising to more than 80% over time and 95% with tariff cuts or elimination. Immediate gains include sheep meat, wool, coal and most forestry exports. (mfat.govt.nz) (beehive.govt.nz) The agreement is broader than a tariff deal. India’s December factsheet says it also covers services, investment, customs procedures, sanitary and phytosanitary measures, technical barriers to trade, intellectual property rights and economic cooperation. (commerce.gov.in) India’s government says New Zealand has offered its best-ever services package to India across 118 sectors, including computer-related, professional, telecom, construction, tourism and audiovisual services. The same factsheet says the pact includes a Most-Favoured-Nation commitment in about 139 sub-sectors. (commerce.gov.in) Mobility is part of the package too. India’s side says New Zealand committed a quota of 5,000 temporary employment entry visas, 1,000 work-and-holiday visas, and post-study work rights of up to three years for STEM graduates and four years for doctoral graduates. (commerce.gov.in) Sensitive farm products were left out. India’s official release says dairy, coffee, milk, cream, cheese, yoghurt, whey, caseins, onions, sugar, spices, edible oils and rubber are excluded from market access commitments. (commerce.gov.in) New Zealand still secured targeted dairy openings tied to processing and quotas. Its government says bulk infant formula and other dairy preparations will get duty-free access over seven years, while milk albumins get a 50% tariff cut within a New Zealand-specific quota. (beehive.govt.nz) (mfat.govt.nz) The talks moved quickly by trade-deal standards. Negotiations were launched on March 16, 2025, concluded on December 22, 2025, and signed on April 27, 2026, after legal verification wrapped up last week. (beehive.govt.nz) (commerce.gov.in) (beehive.govt.nz) The agreement still needs ratification in both countries before it takes effect. When that happens, the pact will turn a nine-month negotiation into a trade framework covering goods, services, investment and worker mobility. (moneycontrol.com) (commerce.gov.in)