India and New Zealand are scheduled to sign a long-awaited free trade agreement at Bharat Mandapam. The agreement aims to double bilateral trade to $5 billion over the next five years. It is expected to enhance market access and investments across various sectors.
The pact will pave the way for around $20 billion in investments from New Zealand into India over the next 15 years. This investment will span sectors like manufacturing, infrastructure, services, innovation, and job creation. Indian companies will gain duty-free access to New Zealand’s markets under this agreement.
Moreover, about 95% of New Zealand’s exports to India will see tariffs eliminated or reduced. Products like wool, coal, wood, wine, seafood, cherries, avocados, and blueberries will benefit from this trade deal. However, sensitive sectors such as dairy, onions, sugar, spices, edible oils, and rubber will remain outside the scope of tariff concessions to protect domestic farmers and industries.
The agreement also includes provisions for enhanced mobility for professionals. New Zealand has agreed to offer a temporary employment visa pathway for up to 5,000 Indian professionals annually. This pathway will allow stays of up to three years. Additionally, the pact addresses non-tariff barriers through improved regulatory cooperation, streamlined customs procedures, and enhanced sanitary and phytosanitary measures.
