India–New Zealand FTA to Enter into Force on 20 October 2026

India and New Zealand have fixed the date on which their Free Trade Agreement (FTA) will start working: 20 October 2026, the day of Dussehra–Vijayadashami. Union Commerce and Industry Minister Piyush Goyal and New Zealand's Minister for Trade and Investment Todd McClay announced it on 21 September 2026 at a virtual meeting, after both countries completed their internal procedures. New Zealand's Parliament had passed the enabling law on 16 September 2026.

The agreement itself was signed on 27 April 2026 at Bharat Mandapam, New Delhi. Todd McClay described it as one of the highest-quality agreements, concluded in just nine months.

What India gains on goods

• From the first day, every tariff line covering 100% of India's exports to New Zealand becomes duty-free.
• New Zealand's peak tariffs of up to 10% go, which helps textiles and apparel, leather and footwear, gems and jewellery, engineering goods and processed foods.
• Indian manufacturers get duty-free access to inputs such as wooden logs, coking coal and metal scrap.

How farmers are protected

Sensitive products are kept out of tariff concessions: dairy, animal meat except sheep meat, key farm commodities, sugar and edible oils. New Zealand's apples, kiwifruit and Manuka honey get only limited access through Tariff Rate Quotas with a Minimum Import Price and seasonal import windows. An Agriculture Productivity Partnership will set up Centres of Excellence and action plans for kiwifruit, apples and honey, overseen by a Joint Agriculture Productivity Council.

Services, jobs and students

• Market access in about 118 service sectors, including IT, professional services, audio-visual, construction and tourism, with Most-Favoured Nation treatment in about 139 sub-sectors.
• A quota of 5,000 Temporary Employment Entry visas for skilled Indians and 1,000 Working Holiday visas a year for young Indians.
• No cap on Indian students, with post-study work rights of up to three years for STEM graduates and four years for doctoral scholars.

Investment and medicines

New Zealand has committed to facilitate USD 20 billion of investment into India, in agriculture, manufacturing, infrastructure and start-ups. Indian drug and medical-device makers will benefit because New Zealand will accept inspection approvals from trusted regulators such as the US FDA, the European Medicines Agency, the UK's MHRA and Health Canada.

The bigger picture

Prime Minister Narendra Modi visited New Zealand in July 2026, the first visit by an Indian Prime Minister in four decades. The two countries announced a Strategic Partnership and adopted a "Roadmap to 2030", which aims to double two-way trade in goods and services to NZ$7 billion (about ₹35,000 crore) by 2030. Merchandise trade stood at about USD 1.1 billion in 2025-26.