India-New Zealand news: A big announcement has been made about the historic Free Trade Agreement between India and New Zealand. Today, on December 22, PM Narendra Modi and New Zealand Prime Minister Christopher Luxon spoke to each other over phone. After this the Prime Minister of New Zealand announced FTA.
This is India’s 7th free trade agreement. Earlier, this agreement has also been signed with Oman, UK, EFTA countries, UAE, Australia and Mauritius.
Prime Minister Luxon expressed happiness by talking on phone
New Zealand Prime Minister Christopher Luxon gave this information by posting on X. He wrote, “I have just spoken to Indian Prime Minister Narendra Modi following the expiration of the New Zealand-India Free Trade Agreement. This FTA reduces or eliminates tariffs on 95% of our exports to India. It is estimated that New Zealand’s exports to India could grow by $1.1 billion to $1.3 billion per year over the next two decades. Increased trade means more Kiwi jobs, higher wages and more opportunities for hardworking New Zealanders.”
He further wrote, “This agreement further cements the strong friendship between our two countries. India is one of the fastest growing economies in the world, and it gives Kiwi businesses access to 1.4 billion Indian customers.”
According to a statement issued by the Prime Minister’s Office, talks on FTA between the two countries had started in March 2025 during the visit of PM Laxan to India. The completion of the FTA in a record time of 9 months reflects the shared ambition and political will to further deepen relations between the two countries. The FTA will significantly deepen bilateral economic engagement, enhance market access, and promote investment flows. It will also strengthen strategic cooperation between the two countries, and also open new opportunities in various sectors for innovators, entrepreneurs, farmers, MSMEs, students and youth.
With the strong and credible foundation provided by the FTA, the two leaders expressed confidence in doubling bilateral trade in the next five years as well as investment of US$20 billion from New Zealand to India over the next 15 years. The leaders also welcomed the progress achieved in other areas of bilateral cooperation such as sports, education and people-to-people ties and reaffirmed their commitment to further strengthen the India-New Zealand partnership.