India-New Zealand FTA a transformative milestone: TPCI

New Zealand FTA marks a transformative milestone for Indian trade policy: TPCI

New Delhi, Sep 30

By securing immediate 100 per cent zero-duty access across all product lines, Indian exporters - particularly in food processing, textiles, and light engineering - gain an unparalleled competitive edge in Oceania, said the industry body.

The landmark India-New Zealand FTA takes effect on October 20 between the two complementary economies.

Delivering 100 per cent duty-free market access for all 8,284 tariff lines covering Indian exports, the pact sets the stage to double bilateral trade to $5 billion within five years, and secure $20 billion in long-term foreign investment commitments into India.

"The October 20 implementation marks a transformative milestone for Indian trade policy. TPCI remains fully committed to assisting MSMEs and agri-food businesses to leverage these tariff concessions, meet technical standards, and build long-term buyer relationships in New Zealand," said Mohit Singla, Chairman, TPCI.

To maximise trade gains from Day 1, TPCI will conduct specialised exporter awareness sessions, trade delegations, and targeted buyer-seller meets focused on agri-food processing and MSME manufacturing clusters, while also facilitating tie-ups with INZBC and QualityNZ, as well as major retailers in New Zealand.

Tariffs on processed foods, spices, seasonings, confectionery, bakery goods, packaged cereals, sauces, fruit juices, and processed vegetables drop from up to 5 per cent directly to zero on day 1.

Duty-free access opens significant room for Indian value-added agri-products to integrate into Indo-Pacific supply chains, said the industry body.

Joint action plans on kiwifruit, apples, and honey will facilitate technology transfer, thus boosting productivity and supporting Indian farm incomes while protecting sensitive domestic sectors like dairy through balanced safeguards.

New Zealand side has also initiated co-operation and collaboration to improve productivity in the Indian dairy sector.

Elimination of 2-10 per cent tariffs makes Indian apparel, finished leather, and footwear immediately price-competitive against regional peers. Machinery, auto components, tools, and packaging items enter New Zealand duty-free, driving growth for MSME export hubs across the country.

Mutual recognition and acceptance of inspection reports from comparable regulators (US FDA, EMA, Health Canada) drastically reduce duplicative trials and speed up market entry for Indian generic medicines, APIs, medical devices, and AYUSH products.

— IANS