NEW DELHI: The India-New Zealand Free Trade Agreement (FTA) will come into force on October 20, Commerce and Industry Minister Piyush Goyal said on Monday.
India and New Zealand signed the trade agreement on April 27, with the pact aimed at expanding bilateral trade in goods and services while creating greater opportunities for investment between the two countries.
“I’m delighted that we are taking forward the next important milestone in our bilateral economic partnership: the entry into force of the India-New Zealand Free Trade Agreement, which will come into force on the auspicious occasion of Dussehra on 20th of October, 2026,” Goyal said.
A key provision of the agreement is New Zealand’s commitment to provide duty-free access for 100 per cent of Indian exports to its market. The measure is expected to improve the competitiveness of Indian products by reducing tariff costs for exporters.
New Zealand currently imposes peak tariffs of up to 10 per cent on several Indian products, including ceramics, carpets, automobiles and auto components. The removal of these duties is expected to expand market access for Indian exporters in these sectors.
The agreement also includes a major investment commitment from New Zealand. Under the pact, New Zealand has committed to investing USD 20 billion in India over a 15-year period, adding an investment component to the broader bilateral trade relationship.
The FTA is intended to strengthen economic ties between the two countries by lowering trade barriers, improving market access and encouraging investment flows. Its implementation from October 20 will mark the beginning of the commitments agreed under the pact.
Goyal also highlighted Prime Minister Narendra Modi’s visit to New Zealand in July, describing it as the first visit by an Indian Prime Minister to the country in four decades.
He said the strategic partnership and roadmap to 2030 reflect the shared ambition of India and New Zealand to deepen economic cooperation. The two countries have set an aspirational goal of nearly doubling bilateral trade in goods and services to around Rs 35,000 crore over the next four to five years.
Goyal said the entry into force of the FTA would translate the countries’ economic partnership into concrete opportunities for businesses, exporters and investors.
