New Delhi, Dec 22:
India and New Zealand on Sunday announced the successful conclusion of a landmark Free Trade Agreement (FTA), following a telephone conversation between Prime Minister Narendra Modi and his New Zealand counterpart, Prime Minister Christopher Luxon.
The two leaders jointly described the agreement as historic, ambitious and mutually beneficial, noting that it would act as a catalyst for enhanced trade, investment, innovation and shared opportunities between the two countries.
The FTA negotiations were initiated during Prime Minister Luxon’s visit to India in March 2025. Concluded in a record time of nine months, the agreement reflects the strong political will and shared ambition of both nations to deepen bilateral ties.
According to official statements, the FTA is expected to significantly boost bilateral economic engagement by improving market access, encouraging investment flows and strengthening strategic cooperation. It will also open new avenues for innovators, entrepreneurs, farmers, MSMEs, students and youth across multiple sectors in both countries.
Building on the strong foundation of the agreement, the two leaders expressed confidence that bilateral trade could be doubled over the next five years. New Zealand is also expected to invest up to USD 20 billion in India over the next 15 years.
Beyond economic cooperation, Prime Ministers Modi and Luxon welcomed progress in other areas of engagement, including defence, sports, education and people-to-people ties. They reaffirmed their commitment to further strengthening the India–New Zealand partnership in the coming years.
The leaders agreed to remain in close touch to ensure effective implementation of the agreement and continued momentum in bilateral relations.
