India FTA Now Open For Business

New Zealand exporters can start using the New Zealand-India Free Trade Agreement from today, with tariffs removed on more than half of New Zealand’s exports to India, Trade and Investment Minister Todd McClay says.

“We launched talks in March 2025 and, by working harder and faster, concluded them in just nine months. That’s a record for India on a comprehensive trade agreement, and it’s one of the highest quality deals they’ve signed. Today, just 19 months after we started, it’s in force and working for exporters,” Mr McClay says.

From today, almost 57 per cent of New Zealand exports to India are tariff-free. That rises to 82 per cent over time. In total, 95 per cent of current exports will have tariffs removed or cut.

Key outcomes from today include:

• tariffs removed on sheep meat, wool and coal
• tariffs removed on more than 95 per cent of forestry and wood exports
• preferential quota access for apples, kiwifruit and milk albumins

A second round of tariff cuts follows on 1 January 2027.

“Our winemakers have been shut out of India by tariffs of 150 per cent. Those will now come down to 25 or 50 per cent over 10 years and we will also now get the better access negotiated by the EU,” Mr McClay says.

“India is one of the fastest-growing economies in the world and is forecast to reach NZ$12 trillion by 2030. Getting in early, on good terms, matters,” Mr McClay says.

“The gains go well beyond exports. They reach suppliers, local businesses and the towns that depend on them.

“With the world economy so uncertain, the India Free Trade Agreement helps our exporters diversify and grow. It’s a big step towards doubling the value of our exports in 10 years.”

New Zealand Trade and Enterprise is running a programme to help exporters use the agreement, with advice, market insights and connections in India.

“I’d encourage any business with an eye on India to talk to NZTE and get started,” Mr McClay says.