Major benefits are already being seen from the recently signed New Zealand-India free trade agreement, according to Trade Minister Todd McClay. Export volumes and visitor arrivals from India have increased even before the agreement is formally in effect. A report from Australia-based Mirage News highlighted that around 8,000 Indian visitors arrived in April 2026, a substantial rise from previous years, showcasing a significant impact of the FTA.
McClay mentioned that the FTA is currently awaiting approval from Parliament and is expected to be enforced later this year. Despite this, positive effects are already evident. Export volumes have surged, with apple exports alone increasing by 63% in 2026 compared to 2024. India has swiftly climbed from being New Zealand’s seventh-largest apple market to the fourth spot in just two years.
The trade deal will lead to a halving of apple tariffs to 25% from day one of its implementation, starting with an initial quota of 32,500 tonnes and increasing to 45,000 tonnes by the sixth year. This reduction is anticipated to provide a substantial financial boost to apple growers. Additionally, Kiwifruit will enjoy tariff-free access within a new quota, starting at 6,250 tonnes and rising to 15,000 tonnes by the sixth year, with tariffs outside the quota being halved from the beginning.
Matariki Forests recently shipped its first batch of logs from Bluff to India since 2020 in June 2026. The forestry sector is experiencing positive momentum, with chip and pulp exporters also reporting strong activity. Furthermore, Air New Zealand is in discussions with Air India for joint venture plans that could enable the commencement of the first direct services between the two countries, as highlighted in the report.
