New Delhi: The Free Trade Agreement (FTA) between India and New Zealand will come into force on October 20, 2026, Commerce and Industry Minister Piyush Goyal announced on Monday.
The agreement received strong bipartisan support in the New Zealand Parliament, where 93 lawmakers voted in favour and 26 against it.
“A Vijay for both nations. India-New Zealand FTA coming into force on 20th October 2026, on the occasion of Vijay Dashami,” Goyal said in a post on X.
FTA Opens Duty-Free Access for Indian Exports
The India-New Zealand FTA was signed in New Delhi on April 27 and provides duty-free access for 100 per cent of Indian exports to New Zealand from the date the agreement comes into force.
The agreement is expected to create new opportunities for Indian exporters across sectors including textiles and apparel, leather and footwear, engineering goods, pharmaceuticals, agriculture and processed food products.
New Zealand exports, including wood, wool, sheep meat and raw hides of leather, will also receive enhanced and preferential access to the Indian market.
Agreement Covers Trade, Investment and Services
The FTA also creates new opportunities in services, investment and professional, student and youth mobility.
It includes enhanced pathways for Indian professionals and students and is aimed at strengthening bilateral economic engagement between the two countries.
According to the Commerce Ministry, the agreement provides for facilitating $20 billion worth of investment into India.
It also seeks to strengthen cooperation in areas including agricultural productivity, pharmaceuticals and medical devices, traditional medicine and AYUSH, technology and trade facilitation.
India-New Zealand Economic Ties
New Zealand Trade and Investment Minister Todd McClay had said in an interview with IANS last week that the agreement was expected to come into force within a month.
He said the next steps involved signing the agreement into law and exchanging diplomatic notes between the two countries before the agreement formally enters into force.
India and New Zealand have close bilateral relations supported by people-to-people ties and growing cooperation in trade and investment, agriculture, education, sports, technology and other areas.
The FTA is expected to further expand economic and commercial engagement between the two countries once it takes effect on October 20.