Indian-origin business leaders are identifying new opportunities to invest and expand in New Zealand following the formal ratification of the India-New Zealand free trade agreement. The deal is expected to strengthen commercial ties between the two countries and encourage Indian companies to explore sectors ranging from healthcare and education to infrastructure, technology, and manufacturing.
New Zealand and India formally completed the ratification process on September 21. The agreement is scheduled to take effect on October 20, while another round of tariff reductions is expected to begin on January 1, 2027. New Zealand Trade Minister Todd McClay described the agreement as an important new phase in the countries’ growing economic relationship.
The FTA will provide significant tariff benefits for exporters. From the agreement’s implementation, 57% of New Zealand’s exports to India will have tariff-free access, including sheep meat, wool, coal, and other products. More than 95% of New Zealand’s forestry and wood exports will also become tariff-free.
Indian-origin business representatives believe the agreement could generate opportunities well beyond traditional trade. Bujje Babu Nelluri, president of the Andhra Pradesh Kiwis Association New Zealand, said Indian companies were increasingly interested in investing in New Zealand. He said his organization was facilitating two potential investments worth about $100 million combined, with the projects potentially generating around 1,000 direct and indirect jobs.
Healthcare is among the sectors attracting attention, with hospital and healthcare groups from India exploring possible investments in New Zealand. Business representatives also see potential in education, infrastructure, construction, green manufacturing, and technology.
Kush Bhargava, chief executive of the Aotearoa Bharat Economic Foundation, said his organization was preparing an investment platform designed to connect Indian companies with opportunities in New Zealand. He identified finished goods, construction materials, green manufacturing, and healthcare as areas with considerable potential.
Other Indian-origin business representatives pointed to opportunities involving leather goods, saddlery, carpets, textiles, engineering products, automotive components, and tires. These industries could help Indian manufacturers access New Zealand consumers while expanding commercial links between the two markets.
Sunny Kaushal, chief executive of the India New Zealand Chamber of Commerce and Industry, said the agreement could give Indian businesses greater certainty when considering trade, investment, or establishing a presence in New Zealand.
At the same time, India New Zealand Business Council Chair Bharat Chawla cautioned that an FTA does not automatically result in investment. He said businesses would need to convert the framework created by the agreement into actual projects.
Industry representatives also highlighted higher education, research, fintech, tourism, professional services, and advanced manufacturing as areas with room for expansion, pointing toward a broader economic relationship between India and New Zealand.
