India–New Zealand FTA to be signed on April 27:Target to double trade in 5 yrs, 5,000 Indians to get annual work visas

A Free Trade Agreement (FTA) will be signed between India and New Zealand tomorrow (Monday, April 27). Union Minister of Commerce Piyush Goyal and New Zealand’s Minister of Trade Todd McClay will participate in this event, which will take place at Bharat Mandapam in Delhi. The agreement aims to double bilateral trade to $5 billion over the next five years. Under the agreement, New Zealand is expected to invest around $20 billion (approximately ₹1.8 lakh crore) in India over the next 15 years across manufacturing, infrastructure, services and innovation sectors. This deal is also expected to generate new employment opportunities in India, while Indian companies will gain duty-free access to the New Zealand market, boosting exports. Quota of 5,000 visas for Indian professionals New Zealand will issue 5,000 temporary work visas annually to Indian professionals. This includes high-demand sectors like IT, engineering, healthcare, education, and construction, as well as AYUSH practitioners, yoga instructors, Indian chefs, and music teachers. This visa will be for a period of 3 years. Protection for Indian Farmers and Sensitive Sectors The agreement safeguards India’s domestic interests by excluding sensitive sectors from concessions. Dairy products such as milk, cream, curd and cheese, along with sugar, onions, chickpeas, peas, maize, almonds, spices and edible oils, will remain protected, with existing duties continuing to apply to avoid impact on local farmers and MSMEs. Duty-free access for New Zealand goods Under the agreement, tariffs on 95% of New Zealand’s export items will be reduced or eliminated. Products like wool, coal, timber, and sheep meat will get duty-free access. Meanwhile, quota-based tariff reductions will be made for products like kiwifruit, apples, wine, cherries, avocados, and honey. Boost for India’s Pharma Sector The New Zealand market will now become easier for Indian pharma and medical device companies.Their regulatory authority will now accept India’s GMP (Good Manufacturing Practice) reports. This will lead to faster product approvals and a reduction in compliance costs India’s Third Major Deal with New Zealand This marks India’s third major trade agreement with a member of the Five Eyes alliance, after Australia and the UK, alongside earlier deals with the UAE, Mauritius and EFTA countries. Current India–New Zealand trade stands at around $2.4 billion and is expected to rise to $5 billion under the new agreement.