The India-New Zealand Free Trade Agreement could come into force within the next month, New Zealand Trade and Investment Minister Todd McClay has said, as both countries complete the formal steps required to implement the pact.<\/p>\n
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Speaking to ANI, McClay said the agreement had secured parliamentary approval in New Zealand and would give Indian exporters duty-free access to the New Zealand market from the day it takes effect.<\/p>\n
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\u201cWe\u2019re very close now. It passed in our Parliament with a significant majority, 93 votes to 26,\u201d McClay said.<\/p>\n
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The two countries are now working through the formal exchange of official notes required before the agreement can enter into force.<\/p>\n
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\u201cYou can expect that within the next month,\u201d he told ANI.<\/p>\n
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New Zealand lawmakers approved the legislation needed to implement the agreement on September 15. The official parliamentary record, however, recorded the vote as 93 in favour and 29 against. The legislation received Royal assent on September 17.<\/p>\n
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McClay said the agreement would create \u201ca significant opportunity\u201d for Indian businesses, with New Zealand set to remove tariffs on Indian goods from the first day of implementation, subject to the terms of the pact.<\/p>\n
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\u201cI think you will see a lot more trade in chemicals and pharmaceuticals, but also in machinery,\u201d he said.<\/p>\n
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Services are also expected to become a larger part of the bilateral trade relationship, with McClay identifying information and communications technology as one area with significant scope for growth.<\/p>\n
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New Zealand, meanwhile, expects the agreement to improve access to the Indian market across food, machinery, services and investment. McClay described the pact as a \u201cwin-win\u201d for both economies.<\/p>\n
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\u201cIndia and New Zealand have now made a commitment, and the two governments have said, \u2018We trust each other. We will honour these commitments,\u201d McClay said.<\/p>\n
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The two countries signed the FTA in New Delhi on April 27, 2026, following nine months of negotiations. Under the agreement, India will receive duty-free access for 100 per cent of its exports to New Zealand.<\/p>\n
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The pact comes as both governments seek to significantly expand their trade relationship.<\/p>\n
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McClay said Prime Minister Christopher Luxon and Prime Minister Narendra Modi had set a goal of doubling bilateral trade by 2030.<\/p>\n
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Trade between India and New Zealand is currently worth around NZ$4 billion, according to McClay, who said the agreement could help the two countries \u201csurpass\u201d that target.<\/p>\n
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New Zealand\u2019s Ministry of Foreign Affairs and Trade has set a 2030 ambition of reaching NZ$7 billion in two-way trade.<\/p>\n
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The agreement could also support greater movement between the two countries, including among students, professionals, tourists and business travellers.<\/p>\n
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McClay said direct flights between India and New Zealand were expected within around a year, which he said could further strengthen people-to-people links.<\/p>\n
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He attributed the conclusion of the long-running trade negotiations to a strengthening relationship and growing trust between the two countries.<\/p>\n
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\u201cFundamentally, it comes down to the friendship that has been formed,\u201d he said, referring to the relationship between Modi and Luxon, as well as his own ties with India\u2019s Commerce and Industry Minister Piyush Goyal.<\/p>\n
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McClay said the speed of the negotiations reflected the growing confidence between the two sides.<\/p>\n
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\u201cWe decided we wanted to do the highest-quality agreement as quickly as we could\u2026 To be able to achieve that in nine months shows just how much trust has developed between our two countries,\u201d McClay said.<\/p>\n
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With global trade facing tariff pressures and greater uncertainty, McClay said the agreement also highlighted the importance of stable and predictable trading arrangements.<\/p>\n
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\u201cIt creates absolute certainty for our businesses, and it sends a signal that two countries like India and New Zealand respect the rules and know that trade rules are important,\u201d he said.<\/p>\n
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According to McClay, the agreement could generate jobs and create new opportunities in both economies while also offering a model for other countries.<\/p>\n","protected":false},"excerpt":{"rendered":"The India-New Zealand Free Trade Agreement could come into force within the next month, New Zealand Trade and…\n","protected":false},"author":2,"featured_media":605149,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[111,43,139,69],"class_list":["post-605148","post","type-post","status-publish","format-standard","has-post-thumbnail","category-new-zealand","tag-new-zealand","tag-news","tag-newzealand","tag-nz"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/605148","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=605148"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/605148\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/605149"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=605148"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=605148"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=605148"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}