Wellington: New Zealand’s Parliament on Wednesday approved legislation to implement free trade agreement (FTA) with India, paving the way for the removal
or substantial reduction of tariffs on nearly 95 per cent of New Zealand’s exports to India. The bill was passed 93–29, with the opposition Labour Party backing the legislation, reported Reuters. The deal is likely to come into force from October 19, an official told news agency PTI. The Both nations had on April 27 signed the afreement to boost trade and investments. Under the India-New Zealand trade agreement, more than half of the products covered will become duty-free from the day the pact comes into effect. New Zealand Trade Minister Todd McClay said the benefits for exporters would be “immediate and substantial”, adding that the government expects the agreement to enter into force this year, reported Reuters. The deal provides duty-free access to New Zealand for all Indian goods, while Wellington has committed to investing $20 billion in India over the next 15 years. Bilateral trade between the two nations stood at NZ$3.99 billion ($2.29 billion) in the year to June 2026, with India emerging as New Zealand’s ninth-largest market for goods and services exports. Notably, Ahead of Prime Minister Narendra Modi's visit to New Zealand in July this year, Prime Minister of New Zealand, Christopher Luxon had stated that businesses of his country were set to boom with the trade deal with India. Highlighting the economic benefits of the agreement, Luxon had said 57 percent of New Zealand's exports to India will be “tariff free from day one."
