India-New Zealand free trade agreement takes effect, Indian goods enter duty-free
The India-New Zealand free trade agreement entered into force at 12:01am IST on Tuesday, giving all Indian goods duty-free access to New Zealand while India set calibrated tariff-rate quotas on NZ apples, kiwifruit and Manuka honey.
India’s free trade agreement with New Zealand entered into force at 12:01am IST on Tuesday, giving 100 per cent of Indian goods — including leather, footwear, apparel and textiles — duty-free access to New Zealand, ending pre-FTA tariffs of up to 10 per cent.
New Zealand has also opened 118 services sectors to Indian providers. Commerce and Industry Minister Piyush Goyal said on Monday the pact aims to lift bilateral trade from about USD 2.4 billion to around NZ$7 billion — about Rs 35,000 crore — by 2030.
Ahead of the launch, the Directorate General of Foreign Trade notified tariff-rate quotas for sensitive imports: no apple or kiwifruit quota in year one, rising in year two to 35,000 tonnes of apples at 25 per cent duty and 8,000 tonnes of kiwifruit duty-free; Manuka honey capped at 40 tonnes in year one, albumins at 200 tonnes at 11 per cent duty.
Goyal flagged off a JCB India small excavator at a New Delhi ceremony, noting New Zealand is the firm’s 140th export destination, and said New Zealand would facilitate USD 20 billion of investment into India over 15 years. NZ Prime Minister Christopher Luxon said on Monday the agreement had been finalised following parliamentary approval in September, while High Commissioner Patrick John Rata told ANI it was “a significant opportunity” for Kiwi exporters of kiwifruit, honey and apples.
Sources: PTI via Deccan Herald, The Hindu BusinessLine, The Economic Times/ANI, News18.
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