New Delhi: Prime Minister Narendra Modi held a telephonic conversationand with his New Zealand counterpart Christopher Luxon on Monday (December 22). Both leaders announced the successful conclusion of
the "historic, ambitious and mutually beneficial" India–New Zealand Free Trade Agreement (FTA).
"With negotiations having been Initiated during PM Luxon’s visit to India in March 2025, the two leaders agreed that the conclusion of the FTA in a record time of 9 months reflects the shared ambition and political will to further deepen ties between the two countries," the Prime Minister's Office (PMO) said in a statement.
"The FTA would significantly deepen bilateral economic engagement, enhance market access, promote investment flows, strengthen strategic cooperation between the two countries, and also open up new opportunities for innovators, entrepreneurs, farmers, MSMEs, students and youth of both countries across various sectors," the PMO added.
Both leaders expressed confidence in doubling bilateral trade over the next five years as well as an investment of USD 20 billion in India from New Zealand over the next 15 years.
PM Modi and his Ne Zealand counterpart welcomed the progress achieved in other areas of bilateral cooperation such as sports, education, and people-to-people ties, and reaffirmed their commitment towards further strengthening of the India-New Zealand partnership.
In November this year, India and New Zealand have successfully concluded the fourth round of negotiations on the FTA in Auckland and Rotorua.
India’s bilateral merchandise trade with New Zealand stood at USD 1.3 billion in Financial Year 2024-25, marking a year-on-year growth of nearly 49 per cent. The proposed FTA is expected to unlock further potential in sectors such as agriculture, food processing, renewable energy, pharmaceuticals, education, and services, creating new opportunities for businesses and consumers alike.
