New Delhi, Sept. 21: The India-New Zealand Free Trade Agreement (FTA) will come into force on October 20, opening duty-free access for Indian exports to the New Zealand market and expanding the framework for bilateral trade, investment, services and professional mobility.
Commerce and Industry Minister Piyush Goyal announced the implementation date on Monday, saying the agreement would take effect on the occasion of Vijay Dashami. New Zealand and India have also completed the formal ratification process, clearing the way for the pact to become operational on the scheduled date.
The agreement, signed in New Delhi on April 27, provides duty-free access for 100 per cent of Indian exports to New Zealand from the date it enters into force. The arrangement covers export sectors including textiles and apparel, leather and footwear, engineering goods, pharmaceuticals, agriculture and processed food products.
For New Zealand exporters, India has provided enhanced and preferential access for products including wood, wool, sheep meat and leather raw hides. The agreement also establishes provisions covering services, investment and mobility for professionals, students and young people.
The pact includes a commitment to facilitate up to $20 billion in investment into India and provides for greater bilateral cooperation in areas such as agricultural productivity, pharmaceuticals and medical devices, traditional medicine and AYUSH, technology and trade facilitation.
New Zealand’s Parliament approved legislation to implement the agreement on September 16, marking a key step towards its entry into force. The legislation received support from the governing and opposition parties. Reuters reported that the measure passed by 93 votes to 29.
New Zealand Trade and Investment Minister Todd McClay had said last week that the agreement was expected to become operational within a month, subject to completion of the required domestic procedures and exchange of diplomatic notes.
The FTA is part of a broader expansion in India-New Zealand economic engagement, covering trade and investment alongside agriculture, education, technology and other areas of bilateral cooperation.
