New Delhi: India and New Zealand on Monday announced the successful conclusion of a landmark Free Trade Agreement (FTA), marking a significant expansion of bilateral economic and strategic relations. Prime Minister Narendra Modi and his New Zealand counterpart Christopher Luxon jointly unveiled the agreement during a telephonic conversation, underscoring strong political commitment on both sides.
Described as historic, ambitious and mutually beneficial, the India–New Zealand FTA was finalised in a record nine months after negotiations were formally launched during Prime Minister Luxon’s visit to India in March 2025. Both leaders noted that the swift conclusion of talks reflected shared ambitions to elevate the partnership to a higher trajectory.
According to an official statement, the agreement is expected to substantially deepen economic engagement between the two countries by improving market access, encouraging investment flows and strengthening strategic cooperation. The FTA is also projected to create new opportunities for innovators, entrepreneurs, farmers, MSMEs, students and young professionals across a wide range of sectors in both nations.
Riding on what they termed a “strong and credible foundation” laid by the agreement, Prime Ministers Modi and Luxon expressed confidence that bilateral trade could be doubled over the next five years. New Zealand also envisages investments of around USD 20 billion in India over the next 15 years, highlighting the long-term economic potential of the partnership.
Beyond trade and investment, the two leaders reviewed progress in other key areas of cooperation, including defence, sports, education and people-to-people ties. They reaffirmed their commitment to further strengthening the India–New Zealand relationship, with the FTA expected to act as a catalyst for broader strategic and societal engagement.
Both sides agreed to remain in close contact as the agreement moves towards implementation, marking what officials described as a new chapter in India–New Zealand relations.
