The India–New Zealand Free Trade Agreement, is going to enter into force on 20th October 2026 said the Ministry of Commerce & Industry. The FTA was signed on 27th April 2026 in New Delhi, by Union Minister of Commerce and Industry Piyush Goyal and New Zealand’s Minister for Trade and Investment Todd McClay.
Goyal and McClay have spoken via virtual conference and announced the date for entering into force of the agreement following the completion of internal processes in both countries. The legislation was passed by the New Zealand Parliament on 16th September, 2026.
Prime Minister Narendra Modi’s visit to New Zealand in July 2026, the first visit by an Indian Prime Minister to New Zealand in four decades, provided further momentum to the bilateral relationship and emphasised the importance of the early implementation of the India-New Zealand FTA, said Ministry of Commerce & Industry.
The visit also marked an important elevation in the relationship, with India and New Zealand announcing a Strategic Partnership and endorsing the India-New Zealand Strategic Partnership: Roadmap to 2030 as a shared framework to guide cooperation over the next four years including an aspirational goal of doubling bilateral two-way trade in goods and services to NZ$7 billion (approximately ₹35,000 crore) by 2030. Operationalisation of the FTA will serve as a key enabler for translating the ambitions of the Strategic Partnership: Roadmap to 2030 into tangible economic outcomes.
“The India-New Zealand FTA would provide fresh momentum to the bilateral partnership, create greater synergies between the two economies, enable economies of scale and contribute to enhancing overall competitiveness. We have chosen the auspicious day Dussshera- Vijay Dashmi for the entry into force of the India-New Zealand FTA. I am confident that the entry into force will overcome all hurdles that stood between our trade, technology and investment relationship, and will ensure prosperity for people of both sides,” Goyal said.
From the entry into force, every single tariff line covering 100% of India’s exports to New Zealand becomes duty-free, offering Indian industry a level playing field that puts it on par with New Zealand’s other trading partners. Sectors that power livelihoods across the country – textiles and apparel, leather and footwear, gems and jewellery, engineering goods and processed foods – stand to gain immediately as New Zealand’s peak tariffs of up to 10% are eliminated. Indian manufacturers will also benefit from tariff-free access to critical inputs such as wooden logs, coking coal and metal scrap, sharpening their competitive edge in global markets, said commerce ministry.
“At the same time, the Government has safeguarded the interests of Indian farmers by keeping sensitive products such as dairy, animal meat (except sheep), key agricultural commodities, sugar and edible oils excluded from tariff concessions,” it added.
A calibrated market access has been structured for New Zealand’s apples, kiwifruit and Manuka honey through Tariff Rate Quotas with Minimum Import Price and seasonal import windows, alongside safeguards to protect domestic farmers. The Agreement establishes an Agriculture Productivity Partnership to strengthen cooperation in agriculture, with dedicated Action Plans for kiwifruit, apples and honey aimed at improving productivity, quality and farmer incomes in India. Centres of Excellence will be established for orchard management, post-harvest practices, supply chains, food safety and sustainable beekeeping, facilitating the exchange of knowledge, technology and capacity. A Joint Agriculture Productivity Council will monitor that the market access is complemented by cooperation activities by New Zealand under Agriculture Productivity Partnership.
The FTA also sets the stage for deeper investment gains for India, with New Zealand’s commitment to facilitate USD 20 billion in investment into India. This investment by New Zealand will benefit Indian agriculture, manufacturing, infrastructure and start-ups.
India’s pharmaceutical and medical device exporters gain a long-awaited edge as New Zealand begins accepting inspection approvals from globally trusted regulators such as the US FDA, EMA, UK MHRA and Health Canada, cutting long waiting time and speeding up market entry.
“With bilateral merchandise trade already at around USD 1.1 billion in 2025-26, the entry into force of the India-New Zealand FTA is set to give a decisive push to two-way trade, investment and job creation in the years ahead. Anchored in the vision of Viksit Bharat @2047, the Agreement stands as another testament to India’s growing network of partnerships with developed economies – one that places farmers, women, youth, artisans and MSMEs at the very heart of its gains,” commerce ministry said.
