India and New Zealand have concluded negotiations for a comprehensive Free Trade Agreement that will significantly deepen bilateral trade, expand market access and enhance long-term economic cooperation. The agreement covers goods, services and investment, signalling a new chapter in cross-border partnerships.
A major gain under the concluded outcome is zero duty on 100 percent of Indian goods exports once the agreement comes into force. Tariff elimination across 8,284 tariff lines will offer greater export potential for Indian manufacturers and businesses. Key beneficiary sectors include IT and IT-enabled services, finance, education, tourism and audio-visual services, creating new growth pathways.
The agreement also provides unprecedented mobility opportunities for Indian professionals and students, fostering skill exchange and innovation. Most Favoured Nation treatment will further strengthen India’s competitiveness and integration into global value chains. Additionally, the outcome is set to support MSMEs, farmers, artisans and women-led enterprises, contributing to inclusive economic development.
Strong boost for textiles and clothing
A focused benefit of the agreement is the growth opportunity for India’s textiles and clothing sector. The deal grants zero-duty market access across 1,057 tariff lines, representing 13 percent of tariff coverage. This extends to ready-made garments, knitwear, fashion apparel, home textiles such as bed linen, towels, carpets and upholstery, and man-made fibre, technical textiles and traditional fabrics.
These gains will enhance India’s position in global textile value chains while supporting employment and artisan livelihoods. The initiative aligns with the vision of Prime Minister Shri Narendra Modi to advance India’s global trade footprint and empower domestic industry.
